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Please make answer obvious. Thank you 28) Your company has made the following promises to a group of employees who are retiring today: a cash
Please make answer obvious. Thank you
28) Your company has made the following promises to a group of employees who are retiring today: a cash flow of $300 1 year from today, a cash flow of $500 2 years from today, a cash flow of $600 3 years from today? Assume all investments earn an annual interest rate of 15%, compounded annually. (The discount rate is 15%). What is the minimum amount that the company should set aside to meet those obligations? a. $1100.00 b. $1033.45 c. $941.39 d. $920.52 e. $1058.60 Step by Step Solution
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