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10.) You are thinking about investing $ 5, 000 in your​ friend's landscaping business. Even though...

10.) You are thinking about investing $ 5, 000 in your​ friend's landscaping business. Even though you know the investment is risky and you​ can't be​ sure, you expect your investment to be worth $ 5, 750 next year. You notice that the rate for​ one-year Treasury bills is 1 %. ​However, you feel that other investments of equal risk to your​ friend's landscape business offer an expected return of 10 % for the year. What should you​ do?
The present value of the return is ​___$. ​(Round to the nearest​ cent.)

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Answer #1
Future value = present value*(1+ rate)^time
5750 = Present value*(1+0.1)^1
Present value = 5227.27
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