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Phil Goode will receive $119,000 in 25 years. His friends are very jealous of him. If the funds are discounted back at a rate of
Phil Goode will receive $119,000 in 25 years. His friends are very jealous of him. If the funds are discounted back at a rate of 19 percent, what is the present value of his future "pot of gold"? (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Present value Mrs. Crawford will receive $8,600 a year for the next 16 years from her trust. If a 14 percent interest rate is applied, what is the current value of the future payments? (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Present value Betty Bronson has just retired after 25 years with the electric company. Her total pension funds have an accumulated value of $400,000, and her life expectancy is 16 more years. Her pension fund manager assumes he can earn a 10 percent return on her assets. What will be her yearly annuity for the next 16 years? (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Annuity
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