Question
You have just received a windfall from an investment you made in a friend's business. He will be paying you $ 17 comma 844 at
You have just received a windfall from an investment you made in a friend's business. He will be paying you $ 17 comma 844 at the end of this year, $ 35 comma 688 at the end of the following year, and $ 53 comma 532 at the end of the year after that (three years from today). The interest rate is 3.9 % per year. a. What is the present value of your windfall? b. What is the future value of your windfall in three years (on the date of the last payment)?
a. What is the present value of your windfall?
b. What is the future value of your windfall in three years (on the date of the last payment)?
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