Question: please post explaination Your eccentric aunt left you the proceeds from the sale of her art collection worth $230,000. However, the will stipulates that you

please post explaination

Your eccentric aunt left you the proceeds from the sale of her art collection worth $230,000. However, the will stipulates that you will receive $60,000 immediately, and the remainder divided equally at the end of each of the next 11 youts. Assuming that you can eam on the money, what is the present value of the payments? What is the present value of the payments? (Round to the nearest cent)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

1. Happy birthday! You are 30 years old today. You want to retire at age 60. You want to have $2,700,000 at retirement. Realistically, you know that the most that you can save from your 31st birthday...

Your eccentric aunt left you the proceeds from the sale of her art collection worth $250,000. However, the will stipulates that you will receive 580,000 immediately, and the remainder divided equally...

Your eccentric aunt left you the proceeds from the sale of her art collecction worth $290,000. However, the will stipulates that you will receive $50,000 immediately, and the remainder divided...

Your eccentric aunt left you the proceeds from the sale of her art collecction worth $240,000. However, the will stipulates that you will receive $70,000 immediately, and the remainder divided...

Your eccentric aunt left you the proceeds from the sale of her art collecction worth $270,000. However, the will stipulates that you will receive $70,000 immediately, and the remainder divided...

Your eccentric aunt left you the proceeds from the sale of her art collecction worth $260,000. However, the will stipulates that you will receive $60,000 immediately, and the remainder divided...

THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION The definitions and interpretations commencing on page 4 of this Circular have been used in this front cover. If you are in any doubt...

The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...

MS&E 352 Decision Analysis II 03/12/2009 ____________________________________________________________________________________________ MS&E 352 Final Examination (Winter 2009) Distributed: Thursday,...

Robert (Bob) S. and Sally D. Grove are husband and wife and live at 4112 Larkspur Lane, Denton, TX 76201. Bob is a retired petroleum engineer, and Sally is a portrait artist. 1. When he retired at...

Redo Example 5-3, precisely this time, by not ignoring the weight of the ball which revolves on a string 0.600m long. In particular, find the magnitude of FT, and the angle it makes with the...

The internal audit department of a manufacturing company conducted a routine examination of the companys distributed computer facilities. The auditors report was critical of the lack of coordination...

Which of the following statements about MinMaxScaler and StandardScaler is correct? a . MinMaxScaler transforms the numeric values to be between 0 and 1 . b . StandardScaler transforms the numeric...

contract clauses to use on contracts with suppliers

Billy Davis has applied for a $9,000 loan to buy a pre-owned automobile. As credit manager of A-1 Finance Corporation, you learn during a credit check that Billy is behind on payments for debts on...

Why is analyzing your receiver important when planning a persuasive message? (Objective 2)

For the past year, the local city bus company stopped twice daily at the main entry of Super Mega Shopping Mart for passengers to exit or enter the bus.With the heavy traffic near this entrance, the...