What would the lump-sum cash
option payout be?
Homework Answers
Present Value = $18,000,000
Discount Rate = 9%
NPER = 22 years
Future Value Cash option = Cash payout * (1+discount rate)^NPER
= $18,000,000 * ( 1+ 0.0225)^88
= $127,539,401
Add Answer to:
What would the lump-sum cash
option payout be?
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