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If Joel earns a 7 percent after-tax rate of return, $27,000 received in two years is worth how much today

User Num Lock
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1 Answer

2 votes

Answer: $23571

Step-by-step explanation:

For this question, we have to calculate the present value of $27,000 with the given rate and the time that have already been given in the question to know the worth tiday. This will then be:

= $27,000 x PVIF (7%, 2)

= $27,000 x 0.873

= $23,571

User BruceJo
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