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The present value of $160,000 to be received in five years at an interest rate of 16%, compounded annually, is $76,176. Required: Using a present
The present value of $160,000 to be received in five years at an interest rate of 16%, compounded annually, is $76,176. Required: Using a present value table (Table 6-4 and Table 6-5), calculate the present value of $160,000 for each of the following items (parts a—f) using these facts: Note: Use the appropriate value(s) from the tables provided. Round your PV factors to 4 decimal places and final answers to the nearest whole dollar. Interest is compounded semiannually. Interest is compounded quarterly. A discount rate of 12% is used. A discount rate of 20% is used. The cash will be received in three years. The cash will be received in seven years.
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