Homework Answers
| Year | Amount Recieved | Working | Present Value of $ 1 @ 13% | Present Value of amount received |
| 1 | - | - | - | |
| 2 | 18,000 | (1/1.13)^2 | 0.78 | 14,096.64 |
| 3 | 18,000 | (1/1.13)^3 | 0.69 | 12,474.90 |
| 4 | 18,000 | (1/1.13)^4 | 0.61 | 11,039.74 |
| 5 | 18,000 | (1/1.13)^5 | 0.54 | 9,769.68 |
| 6 | 18,000 | (1/1.13)^6 | 0.48 | 8,645.73 |
| 7 | 18,000 | (1/1.13)^7 | 0.43 | 7,651.09 |
| 8 | 18,000 | (1/1.13)^8 | 0.38 | 6,770.88 |
| 9 | 18,000 | (1/1.13)^9 | 0.33 | 5,991.93 |
| 10 | 18,000 | (1/1.13)^10 | 0.29 | 5,302.59 |
| 81,743.18 | ||||
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