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At Time 0, You Have $10,000

Question 28

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At time 0, you have $10,000. Investments A and B are available; their cash flows are shown in the table below: Assume that any money not invested in A or B earns interest at an annual rate of 8%. Determine how to maximize your cash on hand at time 3. At time 0, you have $10,000. Investments A and B are available; their cash flows are shown in the table below: Assume that any money not invested in A or B earns interest at an annual rate of 8%. Determine how to maximize your cash on hand at time 3.

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