Question
Investment X offers to pay you $4,600 per year for nine years, whereas Investment Y offers to pay you $6,700 per year for six years.
| Investment X offers to pay you $4,600 per year for nine years, whereas Investment Y offers to pay you $6,700 per year for six years. |
| Calculate the present value for Investment X and Y if the discount rate is 4 percent. (Do not round intermediate calculations and round your final answers to 2 decimal places. (e.g., 32.16)) |
| Present value | |
| Investment X | $ |
| Investment Y | $ |
| Calculate the present value for Investment X and Y if the discount rate is 14 percent. (Do not round intermediate calculations and round your final answers to 2 decimal places. (e.g., 32.16)) |
| Present value | |
| Investment X | $ |
| Investment Y | $ |
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Performance Measurement In Finance
Authors: John Knight, Stephen Satchell, Nathalie Farah
1st Edition
0750650265, 978-0750650267
