Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question

Transcribed Image Text:Which of the following alternatives would you rather receive, assuming an interest rate of
8%
per year, compounding annually?

Transcribed Image Text:O O O
Receive 100 USD now
Receive 120 USD in two years
O Receive 123 USD in three years
Receive 125 USD in ten years
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