Question
Cash Flow Interest Rate Present Discounted Value (Choose from above) is based on the notion that a dollar paid in the future is less valuable
Cash Flow
Interest Rate
Present Discounted Value
(Choose from above) is based on the notion that a dollar paid in the future is less valuable than a dollar paid today.
Part 2
The present value of a loan in which
$5000
is to be paid out a year from today with the interest rate equal to
1%
is
$enter your response here.
(Round your response to the neareast two decimal place)
Part 3
If a loan is paid after two years, and the amount
$5000
is to be paid then with a corresponding
4%
interest rate, the present value of the loan is
$enter your response here.
(Round your response to the neareast two decimal place)
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