What is the present value of this series of payments received in the future? $200 at...
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What is the present value of this series of payments received in the future? $200 at end of year 1 $300 at end of year 2 $400 at end of year 3 Assume the applicable interest rate is 12% the first year and 4% in each of the next two years. Hint: the first payment would be subject to a discount factor of 12% for the first year and 4% for each subsequent year. Write your answer to the nearest dollar (XXX).
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To calculate the present value of the series of payments you need to discount e... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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