Which investment opportunity should sam opt for

Which investment opportunity should sam opt for

Business Economics

Sam has three investment opportunities. The first one will require an initial cost of $100,000 and will return $150,000 one year from now. The second investment requires an outlay of $200,000 and will return $300,000 after one year. The third one requires an upfront cost $250,000 and will return $355,000 one year from now. The problem is that only one investment opportunity can be availed. Alternatively Sam can put his money into a savings bond that pays 20%. Which investment opportunity should Sam opt for?

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