Find the present value of $7500 to be paid each year for 4 years when the interest

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Find the present value of $7500 to be paid each year for 4 years when the interest rate is 10 percent compounded continuously. image text in transcribed

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Schaum S Outline Of Mathematical Methods For Business Economics And Finance

ISBN: 978-1264266876

2nd Edition

Authors: Luis Moises Pena Levano

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Question Posted: Sep 20, 2024 06:03 AM

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Find the present value of $7500 to be paid each year for 4 years when the interest

Question:

From (12.7), Substituting, P = (1-e) 7500 P = 0.1 P (1-e-(0.1)(4)) = 75,000(0.32968) = $24,726

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Schaum S Outline Of Mathematical Methods For Business Economics And Finance

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