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Present Discounted Value is based on the notion that a dollar paid in the future is less valuable than a dollar paid today Th
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Cou: Given that Polesent value of Looss = $1000 To be paid out of year = 18 months Pritegset rate is = 24 PV = L Citta whereb. Present velue pv = $7000 to be paid in Arteq 2 years = 24 months Integest vote is = 300 = 0.03 PV = eg [ 485) 7000 0.03 23

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