Question
Suppose you are going to receive $11,000 per year for 6 years. The appropriate interest rate is 6 percent. a. What is the present value
Suppose you are going to receive $11,000 per year for 6 years. The appropriate interest rate is 6 percent.
a. What is the present value of the payments if they are in the form of an ordinary annuity?
| b. | What is the present value if the payments are an annuity due |
| c. | Suppose you plan to invest the payments for 6 years, what is the future value if the payments are an ordinary annuity? |
| d. | Suppose you plan to invest the payments for 6 years, what is the future value if the payments are an annuity due? |
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Broadcasting Finance In Transition
Authors: Jay G. Blumler, T. J. Nossiter
1st Edition
0195050894, 978-0195050899
