19. Present Value Calculations. For each of the following independent scenarios, use Table 8.7 in the appendix to calculate the present value of the cash flow described. 1. $30,000 will be received 4 years from today. The rate is 10 percent. 2. $30,000 will be received 4 years from today. The rate is 20 percent. 3. $100,000 will be received 15 years from today. The rate is 12 percent. 4. $100,000 will be received 15 years from today. The rate is 6 percent. Table 8.7 Present Value of $1 Received at the End of n Periods 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% 18% 20% 25% 30% 0 1.0000 10000 10000 10000 10000 10000 10000 10000 1.000 1.0000 1.0000 1.000 1.000 1.000 1.0000 1 0.9524 0.9434 0.9346 0.9259 0.9174 0.9091 0.9009 0.8929 0.8850 0.8772 0.8696 0.8475 0.8333 0.8000 0.7692 2 0.9070 0.8900 0.8734 0.8573 0.8417 0.8264 0.8417 0.8264 0.8116 0.7972 0.7831 0.7695 0.7561 0.7182 0.6944 0.6400 0.5917 3 0.8638 0.8396 0.8163 0.7938 0.7722 0.7513 0.7312 0.7118 0.6931 0.6750 0.6575 0.6086 0.5787 0.5120 0.4552 4 0.8227 0.7921 0.7629 0.7350 0.7084 0.6830 0.6587 0.6355 0.6133 0.5921 0.5718 0.5158 0.4823 0.4096 0.3501 5 0.7835 0.7473 0.7130 0.6806 0.6499 0.6209 0.5935 0.5674 0.5428 0.5194 0.4972 0.4371 0.4019 0.3277 0.2693 6 0.7462 0.7050 0.6663 0.6302 0.5963 0.5645 0.5346 0.5066 0.4803 0.4556 0.4323 0.3704 0.3349 0.2621 0.2072 7 0.7107 0.6651 0.6227 0.5835 0.5470 0.5645 0.4817 0.4523 0.4251 0.3996 0.3759 0.3139 0.2791 0.2097 0.1594 8 0.6768 0.6274 0.5820 0.5403 0.5019 0.4665 0.4339 0.4039 0.3762 0.3506 0.3269 0.2660 0.2326 0.1678 0.1226 9 0.6446 0.5919 0.5439 0.5002 0.4604 0.4241 0.3909 0.3606 0.3329 0.3075 0.2843 0.2255 0.1938 0.1342 0.0943 10 0.6139 0.5584 0.5083 0.4632 0.4224 0.3855 0.3522 0.3220 0.2946 0.2697 0.2472 0.1911 0.1615 0.1074 0.0725 11 0.5847 0.5268 0.4751 0.4289 0.3875 0.3505 0.3173 0.2875 0.2607 0.2366 0.2149 0.1619 0.1346 0.0859 0.0558 12 0.5568 0.4970 0.4440 0.3971 0.3555 0.3186 0.2858 0.2567 0.2307 0.2076 0.1869 0.1372 0.1122 0.0687 0.0429 13 0.5303 0.4688 0.4150 0.3677 0.3262 0.2897 0.2575 0.2292 0.2042 0.1821 0.1625 0.1163 0.0935 0.0550 0.0330 14 0.5051 0.4423 0.3878 0.3405 0.2992 0.2633 0.2320 0.2046 0.1807 0.1597 0.1413 0.0985 0.0779 0.0440 0.0254 Factor=1/(1+r)* 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% 18% 20% 25% 30% 15 0.4810 0.4173 0.3624 0.3152 0.2745 0.2394 0.2090 0.1827 0.1599 0.1401 0.1229 0.0835 0.0649 0.0352 0.0195 16 0.4581 0.3936 0.3387 0.2919 0.2519 0.2176 0.1883 0.1631 0.1415 0.1229 0.1069 0.0708 0.0541 0.0281 0.0150 17 0.4363 0.3714 0.3166 0.2703 0.2311 0.1978 0.1696 0.1456 0.1252 0.1078 0.0929 0.0600 0.0451 0.0225 0.0116 18 0.4155 0.3503 0.2959 0.2502 0.2120 0.1799 0.1528 0.13000.1108 0.0946 0.0808 0.0508 0.0376 0.0180 0.0089 19 0.3957 0.3305 0.2765 0.2317 0.1945 0.1635 0.1377 0.1161 0.0981 0.0829 0.0703 0.0431 0.0313 0.0144 0.0068 20 0.3769 0.3118 0.2584 0.2145 0.1784 0.1486 0.1240 0.1037 0.0868 0.0728 0.0611 0.0365 0.0261 0.0115 0.0053 21 0.3589 0.2942 0.2415 0.1987 0.1637 0.1351 0.1117 0.0926 0.0768 0.0638 0.0531 0.0309 0.0217 0.0092 0.0040 22 0.3418 0.2775 0.2257 0.1839 0.1502 0.1228 0.1007 0.0826 0.0680 0.0560 0.0462 0.0262 0.0181 0.0074 0.0031 23 0.3256 0.2618 0.2109 0.1703 0.1378 0.1117 0.0907 0.0738 0.0601 0.0491 0.0402 0.0222 0.0151 0.0059 0.0024 24 0.3101 0.2470 0.1971 0.1577 0.1264 0.1015 0.0817 0.0659 0.0532 0.0431 0.0349 0.0188 0.0126 0.0047 0.0018 25 0.2953 0.2330 0.1842 0.1460 0.1160 0.0923 0.0736 0.0588 0.0471 0.0378 0.0304 0.0160 0.0105 0.0038 0.0014 26 0.2812 0.2198 0.1722 0.1352 0.1064 0.0839 0.0663 0.0525 0.0417 0.0331 0.0264 0.0135 0.0087 0.0030 0.0011 27 0.2678 0.2074 0.1609 0.1252 0.0976 0.0763 0.0597 0.0469 0.0369 0.0291 0.0230 0.0115 0.0073 0.0024 0.0008 28 0.2551 0.1956 0.1504 0.1159 0.0895 0.0693 0.0538 0.0419 0.0326 0.0255 0.0200 0.0097 0.0061 0.0019 0.0006 0.2429 0.1846 0.1406 0.1073 0.0822 0.0630 0.0485 0.0374 0.0289 0.0224 0.0174 0.0082 0.0051 0.0015 0.0005 29 19. Present Value Calculations Present value = Amount received in future