Suleiman Must Make a Choice Between Two Investment Alternatives

question 4

Multiple Choice

Suleiman must make a choice between two investment alternatives. Alternative 1 will provide him returns of $300 000 at the end of second year and $700 000 at the end of fifth year. Alternative 2 will provide him returns $180 000 at the end of each of the next six years. Alternative 3 will provide him returns $370 000 at the end of second, fourth and sixth years. Which alternative is preferable if money is worth 9.4%?

• A) Alternative 1
• B) Alternative 2
• C) Alternative 3
• D) Alternative 2 or Alternative 3, as both are essentially same
• E) Alternative 1 or Alternative 3, as both are essentially same

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Definitions:

Neurotransmitter

Chemical substances in the brain and nervous system that transmit signals from one neuron to another, influencing various functions like mood, sleep, and heart rate.

Dopamine

A neurotransmitter in the brain that plays a key role in regulating mood, reward, and movement, often associated with the brain's pleasure and reward system.

Parkinson's Disease

A progressive neurological disorder that affects movement, causing tremors, stiffness, and difficulty with walking, balance, and coordination.

Neurotransmitter

Chemical substances in the brain that transmit signals across a synapse from one neuron to another, playing crucial roles in regulating bodily functions and psychological states.