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Business, 24.05.2021 17:30 lolirdc

A village has six residents, each of whom has accumulated savings of $100. Each villager can use this money either to buy a government bond that pays 15% per year. Or they can buy a llama, send it onto the commons to graze and then sell it after one year. The price the villager gets for selling the llama depends on quality of fleece it grows. The quality of fleece depends on how many llamas are grazing. At the end of the year the villager will have $115 if they buy the bond or $109-$122 if they buy the llama depending on how many llamas are purchased?

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