You have a partnership stake in a business that pays you equal payments of $1,500 at...
You have a partnership stake in a business that pays you equal payments of $1,500 at the end of each year for the next five years. If the annual interest rate stays constant at 4%, what is the value of these payments in today’s dollars? Round your answer to the nearest whole dollar.
a. $8,348
b. $6,678
c. $5,676
d. $6,945
You found out that now you are going to receive payments of $6,500 for the next 15 years. You will receive these payments at the beginning of each year. The annual interest rate will remain constant at 15%. What is the present value of these payments? Round your answer to the nearest whole dollar.
a. $38,008
b. $59,007
c. $43,709
d. $34,967
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