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An investment is offered with the following conditions. An initial investment of $ 100,000 and annual payments of $ 12,000 from the third year at
An investment is offered with the following conditions. An initial investment of $ 100,000 and annual payments of $ 12,000 from the third year at a rate of 10% APR for 8 years. After 8 years, annual payments of $ 7,500 are made at a rate of 11.5% APR for 5 years and the accumulated of the past 8 years is maintained for those 5 years at 11.5% APR. Calculate the following: 1) The present value of the investment 2) The future value of the investment 3) The profit obtained 4) The investor is willing to sell the investment with a 40% discount from the projected profit. How much is the price you should ask for?
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