For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e. g., 32.16.)

Present Value Years Interest Rate Future Value

$ 10 6% $19,128

$ 2 11 43,317

$ 14 14 808,382

$ 19 13 665,816

Question

Business

Julio Kent

18 March, 12:35

For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e. g., 32.16.)

Present Value Years Interest Rate Future Value

$ 10 6% $19,128

$ 2 11 43,317

$ 14 14 808,382

$ 19 13 665,816

+2

Answers (1)

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Serenity Wallace · Answer 1

Present Value Years Interest Rate Future Value

PV n r FV

1. $10,681 10 6% $19,128

2. $35,157 2 11% $43,317

3. $129,107 14 14% $808,382

4. $65,293 19 13% $665,816

Present value of future cash flow will be calculated by using discount formula which is as follow:

PV = FV / (1 + r) ^n

1. PV = $19,128 / (1 + 0.06) ^10 = $10,681

2. PV = $43,317 / (1 + 0.11) ^2 = $35,157

3. PV = $808,382 / (1 + 0.14) ^14 = $129,107

4. PV = $665,816 / (1 + 0.13) ^19 = $65,293

For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e. g., 32.16.)Present Value Years Interest Rate Future Value$ 10 6% $19,128$ 2 11 43,317$ 14 14 808,382$ 19 13 665,816

For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e. g., 32.16.)

Present Value Years Interest Rate Future Value

$ 10 6% $19,128

$ 2 11 43,317

$ 14 14 808,382

$ 19 13 665,816