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George Is Offered an Investment Option by His Friend

Question 91

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George is offered an investment option by his friend.He asks George for $6,900 and offers to repay $12,990 to him after a period of 10 years.George considers investing his money in his friend's project; however,the bank in his community offers an annual rate of interest of 9 percent on every deposit.Which do you think is the better investment option for George?

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