Question
Investment X offers to pay you $5,900 per year for 9 years, whereas Investment Y offers to pay you $8,700 per year for 5 years.
| Investment X offers to pay you $5,900 per year for 9 years, whereas Investment Y offers to pay you $8,700 per year for 5 years. |
| If the discount rate is 4 percent, what is the present value of these cash flows? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) |
| Present value | |
| Investment X | $ |
| Investment Y | $ |
| If the discount rate is 14 percent, what is the present value of these cash flows? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) |
| Present value | |
| Investment X | $ |
| Investment Y | $ |
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The Evolution Of Finance
Authors: Barbara Guth
1st Edition
1633377261, 978-1633377264
