Question
In this question: What is the present value of $100,000 to be received after 40 years with an 18% discount rate? Why are the answers
In this question:
"What is the present value of $100,000 to be received after 40 years with an 18% discount rate?"
Why are the answers so different when using a chart, calculator, and excel?
Chart: PV = FV (PVif@18%, 40 years) = $100,000 x .001 = $100
Calculator: $100,000(FV), 18%(i%), 40 (N); PV = $133.27
Excel: =PV(18%, 40, 0, 100,000) = $133.27
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Financial Risk Manager Handbook
Authors: Philippe Jorion, Global Association Of Risk Professionals
5th Edition
0470479612, 978-0470479612
