Question
You have just received a windfall from an investment you made in afriend's business. He will be paying you $ 36 comma 150 $36,150 at
You have just received a windfall from an investment you made in afriend's business. He will be paying you $ 36 comma 150
$36,150 at the end of thisyear, $ 72 comma 300
$72,300 at the end of the followingyear, and $ 108 comma 450
$108,450 at the end of the year after that(three years fromtoday). The interest rate is 12.6 %
12.6% per year.
a. What is the present value of yourwindfall?
b. What is the future value of your windfall in three years(on the date of the lastpayment)?
a. What is the present value of yourwindfall?
The present value of your windfall is $
nothing
. (Round to the nearestdollar.)
b. What is the future value of your windfall in three years(on the date of the lastpayment)?
The future value of your windfall in three years is $
nothing
. (Round to the nearestdollar.)
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