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Time value of money based question

Suppose the risk-free interest rate is 4%.

1) Having $200 today is equivalent to having what amount in one year?

2) Having $200 in one year is equivalent to having what amount today?

3) Which would you prefer, $200 today or $200 in one year? Does your answer depend on when you need the money? Why or why not?

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Finance Basics: Time value of money based question

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