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Would you rather use an interest rate of 6 or 12 in

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Rather than pay you $1,000 a month for the next 20 years, the person who injured you in an automobile accident is willing to pay a single amount now to settle your claim for injuries. Would you rather use an interest rate of 6% or 12% in computing the present value of the lump-sum settlement? Comment or explain.

Reference no: EM13484295

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