(LG 5.3) Aline has three contracts from which to choose. The first contract will require an outlay of $100 000 but will return $160 000 one year from now. The second contract requires an outlay of $200 000 and will return $300 000 one from now. The third contract requires an outlay of $250 000 and will return $355 000 one year from now. Only one contract can be accepted. If her MARR is 20 percent, which one should she choose? year
(LG 5.3) Aline has three contracts from which to choose. The first contract will require an outlay of $100 000 but will return $160 000 one year from now. The second contract requires an outlay of $200 000 and will return $300 000 one from now. The third contract requires an outlay of $250 000 and will return $355 000 one year from now. Only one contract can be accepted. If her MARR is 20 percent, which one should she choose? year
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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the answer to this question is Q5.14= DONT KNOW but we just need to find how we get that answer for these questions, please help NO EXCEL
Transcribed Image Text:5.14 (LG 5.3) Aline has three contracts from which to choose. The first contract will
require an outlay of $100 000 but will return $160 000 one year from now. The
second contract requires an outlay of $200 000 and will return $300 000 one
year from now. The third contract requires an outlay of $250 000 and will return
$355 000 one year from now. Only one contract can be accepted. If her MARR is
20 percent, which one should she choose?
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