Question: Randy has two Term policies she would like to compare. The premiums she would pay each year for each policy are shown below. Calculate the

Randy has two Term policies she would like to compare. The premiums she would pay each year for each policy are shown below. Calculate the NPV at a 6 percent after-tax discount rate. Which one should she select and why?

Year

A ($)

B ($)

0

225

300

1

275

310

2

350

320

3

400

330

4

500

340

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