ATT Company sold the rights to use one of their patented processes that will result in...
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ATT Company sold the rights to use one of their patented processes that will result in them receiving cash payments of $10,000 at the end of every six months for each of the next four years along with a lump sum payment of $20,000 at the end of the fifth year and a lump sum payment of $15,000 at the end of the sixth year. Assume an interest rate of 10% compounded semi-annually. Calculate the total present value of these payments. You will need to use the time value of money table factors posted in carmen to answer this question. To access these factors, click modules and then scrol1 to week 10. click on the link labeled present & future value table factors. No credit will be awarded for this question using a means other than these posted table factors to answer this question. ATT Company sold the rights to use one of their patented processes that will result in them receiving cash payments of $10,000 at the end of every six months for each of the next four years along with a lump sum payment of $20,000 at the end of the fifth year and a lump sum payment of $15,000 at the end of the sixth year. Assume an interest rate of 10% compounded semi-annually. Calculate the total present value of these payments. You will need to use the time value of money table factors posted in carmen to answer this question. To access these factors, click modules and then scrol1 to week 10. click on the link labeled present & future value table factors. No credit will be awarded for this question using a means other than these posted table factors to answer this question.
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Present value of all payments Cash payments of 10000 at th... View the full answer
Related Book For
Accounting concepts and applications
ISBN: 978-0538745482
11th Edition
Authors: Albrecht Stice, Stice Swain
Posted Date:
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