Question
For each of the following cases, calculate the present value of the annuity, assuming the annuity cash flows occur at the end of each year.
For each of the following cases, calculate the present value of the annuity, assuming the annuity cash flows occur at the end of each year.
| Annuity | Interest Rate (%) | Period (Yrs) | Present Value ($) |
|
| 40,000 | 12 | 5 | ||
| 16,000 | 4 | 18 |
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The Bank Credit Analysis Handbook
Authors: Jonathan Golin, Philippe Delhaise
2nd Edition
0470821574, 978-0470821572
