EX. 14-17 Why are there so many different possible answers? This is what had me confused so much. My Instructor said $751,310 was correct. However, when I went back yesterday to try to solve equations again for review, had come to amounts of $751,314.80, & $826,441, & $909,085. 1. Also the totals varied from $751,315 to $751,314.80 to $751,310. ??? As explained in last question submitted than I never got a response to, I asked in desperation for step by step visual of calculations (showing the work) of how anonymous came to totals. I wanted (& would very much appreciate) clarification for study/test review, so when a definite figure is needed I won't have to guess.

Appendix 1 EX 14-17 Present value of amounts due Tommy John is going to receive $1,000,000 in three years. The current market rate of interest is 10% a. Using the present value of $1 table in Exhibit 8, determine the present value of this amount compounded annually. b. Why is the present value less than the $1,000,000 to be received in the future? Appendix 1 Expert Answer o Anonymous answered this Year Ex 14-17 Solution a. Amount to be receive in 3 years (a) Rate of Interest $ 10,00,000 10% PV (10%) 0.90909091 0.82644628 0.75131480 3 PV factor (10%, 3 years) (b) - 0.75131480 Present value of Amount (axb) = $ 7,51,314.80 Solution b. The present Value is less than $1,000,000, as there is difference of interest income on such amount $751,315 today if invested in a bank at 10% will become equal to $1,000,000 in 3 years. This is also known as a "Time Value of Money". + Expert Q&A W + EX 14-17 & 14-18 I had already submitted this HW 3 weeks ago so have the exact # amounts, but cant remember how I got to the down to cent amounts. I want to review for a test due in 2 days. Also due to coronavirus haven't had any review or instruction in last 3 weeks, thus my predicament. X14-17 Prosent Value of soments Que 1904,000 in 3yr @ 10% ceput inte (0.7512) Corp101 6.75 131 1 3 > ='904, 10.901.10 PAL 751,310 yra 824, W12909972 -110 yr. 1 - 751,310.80090156 PA Cath Led today is worth more than hane amount of stresaved in the future e pg.683 (Value ng mo niliates with time)