A contest offers the winner ($ 50,000) now or ($ 10,000) now and ($ 45,000) in one

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A contest offers the winner $\$ 50,000$ now or $\$ 10,000$ now and $\$ 45,000$ in one year. Which is the better choice if the current interest rate is $2 \%$ compounded monthly and the winner does not intend to use any of the money for one year?

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Nature Of Mathematics

ISBN: 9781133947257

13th Edition

Authors: Karl J. Smith

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Question Posted: Jan 28, 2024 01:03 AM

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A contest offers the winner ($ 50,000) now or ($ 10,000) now and ($ 45,000) in one

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Nature Of Mathematics

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