Question

needing help with these finacial problems

Compute the present value of a $2,000 deposit in year 1, and another $2.500 deposit at the end of year 4 using an 8 percent interest rate. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Present value

Answer 1

Ans 1) $ 3689.43

Year	Project Cash Flows (i)	DF@ 8%	DF@ 8% (ii)	PV of Project ( (i) * (ii) )
1	2000	1/((1+8%)^1)	0.926	1,851.85
2	0	1/((1+8%)^2)	0.857	-
3	0	1/((1+8%)^3)	0.794	-
4	2500	1/((1+8%)^4)	0.735	1,837.57
		PV		3,689.43

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