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The present value interest factor of $1 discounted for 8 years at 10% (annual) is 0.4665. The present value of an annuity of $1 discounted
The present value interest factor of $1 discounted for 8 years at 10% (annual) is 0.4665. The present value of an annuity of $1 discounted for 8 years at 10% is 5.3349. Given this information, how much must be invested today so that $100 can be received each year for 8 years? Again, the assumed rate is 10% (annual).
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