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Use Table PV-1 and Table PV2 to determine the present values of the following cash flows. (For all requirements, round PV factor to 3 decimal
Use Table PV-1 and Table PV2 to determine the present values of the following cash flows. (For all requirements, round PV factor to 3 decimal places, intermediate and final answer to the nearest dollar amount.) a. $15,000 to be paid annually for 10 years, discounted at an annual rate of 6 percent. Payments are to occur at the end of each year. $9,200 to be received today, assuming that the money will be invested in a two-year certificate of deposit b. earning 8 percent annually. $300 to be paid monthly for 36 months, with an additional "balloon payment" of $12,000 due at the end of the c. 36th month, discounted at a monthly interest rate of 172 percent. The first payment is to be one month from today. $25,000 to be received annually for the first three years, followed by $15,000 to be received annually for the d. next two years (total of five years in which collections are received), discounted at an annual rate of 8 percent. Assume collections occur at year-end
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