y courses 2018-FALL-M-FIN-499-9-02 Topic 3 / QUIZ 1 Assume that you were the luc
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y courses 2018-FALL-M-FIN-499-9-02 Topic 3 / QUIZ 1 Assume that you were the lucky winner to receive $5 million. Further assume that you were offered a choice to receive the $5 million today, or receive it in two years. According to one of the principles of finance, which would you take? Select one: O a. The $5 million in two years because it would be worth more than if you would receive it today. The $5 million today because it would be worth more than if you would receive it in two years. . You would be indifferent as to when you would receive the $5 million. d. The $5 million in two years because you would be afraid of spending it all right away. Next page Jump to...Explanation / Answer
b. option
the above should be the answer..
because of time value of money , today's money has more worth in present value terms
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