The present value of an annuity of $10,000 per year for 10 years discounted at 8 percent
Question:
The present value of an annuity of $10,000 per year for 10 years discounted at 8 percent is what amount?
a. $5,002
b. $67,101
c. $53,349
d. $80,000
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Related Book For
Financial Accounting
ISBN: 9781264229734
11th Edition
Authors: Robert Libby, Patricia Libby, Frank Hodge
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he present value of an annuity is the current value of future payments from an annuity, given a specified rate of return, or discount rate. The higher the discount rate, the lower the present value of the annuity
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