Mr. Ding just today turned 23 years of age. His salary on February 1, 2022 (t1) will be $85,435. Mr. Ding forecasts that his salary will continue to increase at a steady rate of 1.50% annually until his retirement at the end of the year that he turns age 65.If the discount rate to use is 5.50% per annum, what is the present value at time t0 of Mr. Arychuk's future salary payments?

Answer rating: 100% (QA)

To calculate the present value of Mr Dings future salary payments we can use the formula for ... View the full answer