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5 find the present value of $7,000 to be received one year from now, assuming a 3 percent annual discount interest rate. also calculate the present value if the $7,000 is received after two years.
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5 find the present value of $7,000 to be received one year from now, assuming a 3 percent annual discount interest rate. also calculate the present value if the $7,000 is received after two years.

User Adam Dobrawy
by
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1 Answer

2 votes
one year

7000×1.03^1 = $7210.00

two year

7000×1.03^2 = $7426.30
User Trevor Hickey
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