Using the tables in Exhibits 26–3 and 26–4, determine the present value of the following cash flows, discounted at an annual rate of 15 percent:
In Exhibits 26–3

In Exhibits 26–4

a. $10,000 to be received 20 years from today.
b. $15,000 to be received annually for 10 years.
c. $10,000 to be received annually for five years, with an additional $12,000 salvage value expected at the end of the fifth year.
d. $30,000 to be received annually for the first three years, followed by $20,000 received annually for the next two years (total of five years in which cash isreceived).

  • CreatedApril 17, 2014
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