What is the present value if are offered in twelve years

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Problem 1: You are offered ?$100,000 today or ?$380,000 in 12 years. Assuming that you can earn 12 percent on your? money, which should you? choose?

Problem 2: If you are offered ?$380,000 in 12 years and you can earn 12 percent on your? money, what is the present value of ?$380,000??

Reference no: EM132941674

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