Using a present value table, your calculator, or a computer program present value function, calculate the present

Question:

Using a present value table, your calculator, or a computer program present value function, calculate the present value of

a. A car down payment of $16,000 that will be required in two years, assuming an interest rate of 10%. 

b. A lottery prize of $28 million to be paid at the rate of $1,400,000 per year for 20 years, assuming an interest rate of 10%.

c. The same annual amount as in part b, but assuming an interest rate of 14%.

d. A financing lease obligation that calls for the payment of $36,000 per year for 10 years, assuming a discount rate of 8%.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: