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What is the present value of the business opportunity

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Reference no: EM132929162

Problem 1: A business promises to pay the investor of $6000 today for a payment of $1500 in one year's time, $3000 in two years' time, and $3000 in three years' time. What is the present value of this business opportunity if the interest rate is 6% per year?

A. $507
B. $604
C. $3,129
D. $997

Reference no: EM132929162

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