Question: Using a financial calculator or an Excel spreadsheet, calculate the following. a. The present value of $500 to be received 4 years from now, using
a. The present value of $500 to be received 4 years from now, using an 11% discount rate.
b. The present value of the following end-of-year income streams, using a 9% discount rate and assuming it is now the beginning of 2015.
.png)
End of Year 2015 2016 2017 2018 2019 2020 2021 Income () ncome($) StreamA 80 80 80 80 80 80 80 Stream B 140 120 100 80 60 40 20
Step by Step Solution
3.31 Rating (169 Votes )
There are 3 Steps involved in it
a Present value of 500 to be received in four years at an 11 discount rate N4 i11 PMT... View full answer
Get step-by-step solutions from verified subject matter experts
Document Format (1 attachment)
446-B-A-T-V-M (1744).docx
120 KBs Word File
