Question: Problem 4-14 Present Value with Different Discount Rates Calculate the present value in two years using discount rates. Compute the present value of $4800.00 paid
Problem 4-14 Present Value with Different Discount Rates
- Calculate the present value in two years using discount rates.
Compute the present value of $4800.00 paid in two years using the following discount rates: 8 percent in the first year and 7 percent in the second year. (Do not round intermediate calculations and round your answer to 2 decimal places).
Future Value: $4800.00
Number Of Years: 2
Interest Rate First Year: 8.00%
Interest Rate Second Year: 7.00%
Complete the following analysis. Do not hardcore values in your calculations.
Value two years from today?
Value one year from today?
Present Value?
***All answers must be entered with a formula*** (Excel)
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