How much is $1 million received in 100 years worth today, assuming a 10% required rate...

Question

Question

How much is $1 million received in 100 years worth today, assuming a 10% required rate of return?

Answer 1

Answer #1

Present value = Future value /(1+r)^n

Where,
r= rate of interest
n= number of years

=$1000000/(1+0.10)^100

=$72.5657

=$72.57 ( rounded off)


$1 million received in 100 years worth today =$72.57

Answer 2

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