Question
Start by calculating 30% of the projected salary at graduation. Then use this dollar value as the estimated payment to calculate a 10-year annuity with
Start by calculating 30% of the projected salary at graduation.
Then use this dollar value as the estimated payment to calculate a 10-year annuity with 6% discount rate.
Find the NPV of this annuity.
(use 30% of the expected salary at graduation as the payment number for the annuity calculation)
Projected Salary = $66,790
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Accounting Information Systems
Authors: Vernon Richardson, Chengyee Chang, Rod Smith
2nd edition
978-1260153156
