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A company has a pension liability of $460,000,000 that it must pay in 29 in years. If it can earn an annual interest rate of
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Answer #1

Ans $ 139,506,351.81

FV = Future Value
PV = Present Value
r = rate of interest
n= no of period
PV = FV/ (1 + r )^n
PV = 460000000/ ((1 + 4.2%)^29)
PV = 139506351.81
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