An investment will pay you $20,000 in 8 years. The appropriate discount rate is 11 percent compounded daily. Required: What is the present value?
$8,545.66, $8,296.76, $8,678.53, $7,881.92, $8,711.60
B. $8,296.76
PV = FV / (1 + r)t
PV = $20,000 / [(1 + 0.11/365)8(365)]
PV = $8,296.76
An investment will pay you $20,000 in 8 years. The appropriate discount rate is 11 percent...
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