Question: Ronen Consulting has just realized an accounting error which has resulted in an unfunded liability of $ 398,930 due in 28 years. Toni Flanders, the

Ronen Consulting has just realized an accounting error which has resulted in an unfunded liability of $ 398,930 due in 28 years. Toni Flanders, the company’s CEO, is scrambling to discount the liability to the present to assist in valuing the firm’s stock. If the appropriate discount rate is 7 percent, what is the present value of the liability?

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