I don’t think you’re putting the r in the right place. If their discount rate is 40%, you should be comparing $100 now with $250 next year, or $40 now with $100 next year.
I don’t think you’re putting the r in the right place. If their discount rate is 40%, you should be comparing $100 now with $250 next year, or $40 now with $100 next year.