Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You recently learned that your late grandmother has left you an inheritance. Your inheritance will allow you to receive the amount of $ 1 0

You recently learned that your late grandmother has left you an inheritance. Your inheritance will allow you to receive the amount of $1000 at the end of each year for a total of 12 consecutive years. However, because of your young age, these amounts will not begin until the end of 6 years. If the interest rate is 9%, what is the equivalent present value of the inheritance?
$4269.71
$4653.98
$7160.73
$12609.81
$5072.84

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Finance questions