Question
Sally Mander has been offered the following set of cash flows (or benefits) over the next 10 years: End of years 1 through 6 she
Sally Mander has been offered the following set of cash flows (or benefits) over the next 10 years:
End of years 1 through 6 she will receive $50,000 annually and at the end of year 10 she will receive $75,000. No benefits will be received for years 7 through 9.
What is this benefit set up worth to her in today's dollars if she feels comfortable assuming a 7% interest rate?
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Money Talks Explaining How Money Really Works
Authors: Nina Bandelj ,Frederick F. Wherry ,Viviana A. Zelizer
1st Edition
0691202893, 978-0691202891
