Halvorson Construction has an investment project that would cost $150,000 today and yield a one-time payoff of $167,000 in three years.What is the highest interest rate at which Halvorson would find this project profitable?
A)7%
B)6%
C)5%
D)It is not profitable at any of these interest rates.

Question

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The Answer of Halvorson Construction has an investment project that would cost $150,000 today and yield a one-time payoff of $167,000 in three years.What is the highest interest rate at which Halvorson would find this project profitable?
A)7%
B)6%
C)5%
D)It is not profitable at any of these interest rates.

Halvorson Construction Has an Investment Project That Would Cost $150,000