Answer:
$548.95
Step-by-step explanation:
To find the value of my friend's offer, I would find the present value of the offer
The present value is the sum of discounted cash flows
Cash flow at year zero = $100
Cash flow at year one = $200
Cash flow at year two = $300
Discount rate = 7%
Present value = $548.95
The value of my friends offer is $548.95
I hope my answer helps you