Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A consultant expects an income stream of $ 1 5 , 0 0 0 per year for the next 8 years. A . Find the

A consultant expects an income stream of $15,000 per year for the next 8 years.
A. Find the present value of this income stream if the interest rate is 8% per
year, compounded continuously.
B. Find the future value of this income stream under the same conditions. answer is A. $88,633
B. $168,091 just show the work
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Finance Capital Markets Financial Management And Investment Management

Authors: Frank J. Fabozzi, Pamela Peterson Drake

1st Edition

0470407352, 978-0470407356

More Books

Students also viewed these Finance questions

Question

Date Account Titles and Explanation Debit Credit

Answered: 1 week ago

Question

Outline the regulatory framework for workplace health and safety

Answered: 1 week ago