Homework Soursecalculate the present value of 89000 to be received in 15 ye
calculate the present value of 89,000 to be received in 15 years assuming an opportunity cost of 14 percent
calculate the present value of 89,000 to be received in 15 years assuming an opportunity cost of 14 percent
calculate the present value of 89,000 to be received in 15 years assuming an opportunity cost of 14 percent
Solution
Present Value = Future Value x Present Value of 1 = $ 89,000 x 0.140096 = $ 12,468.59 Working: Present Value of 1 = (1+i)^-n Where, = (1+0.14)^-15 i 14% = 0.140096 n 15
