You told your friend with the yogurt business that his


You told your friend with the yogurt business that his terms were too risky. You think an appropriate discount rate for this venture is 20% and you want a return in ONE year. In exchange for a $50,000 investment today, your friend agrees to pay you $57,500 in one year. Should you take your friend's offer? Why or why not? (2 points) (Note: there are different ways you could answer this but thecorrect ones involve some use of the terms we discussed in class - PV, FV, IRR etc.).  Show your work.

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Financial Management: You told your friend with the yogurt business that his
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