Question
You are offered the following cash flows by your company upon retirement: Year Amount $50,000 60,000...
- You are offered the following cash flows by your company upon retirement:
Year Amount
- $50,000
- 60,000
- 70,000
- 80,000
- 90,000
You are offered a payment today of $270,000 in place of the payments above. Assuming a 7% interest rate, which should you take?
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