Question: Present value (with changing interest rates). Marty has been offered an injury settlement of $16,000 payable in 3 years. He wants to know what

Present value (with changing interest rates). Marty has been offered an injury

Present value (with changing interest rates). Marty has been offered an injury settlement of $16,000 payable in 3 years. He wants to know what the present value of the injury settlement is if his opportunity cost is 3%. (The opportunity cost is the interest rate in this problem.) What if the opportunity cost is 6%? What if it is 10.5%? If Marty's opportunity cost is 3%, what is the present value of the injury settlement? (Round to the nearest cent.)

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