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Investment X offers to pay you $6,100 per year for 9 years, whereas Investment Y offers to pay you $8,400 per year for 5
Posted: Mon May 30, 2022 7:03 am
by answerhappygod
- Investment X Offers To Pay You 6 100 Per Year For 9 Years Whereas Investment Y Offers To Pay You 8 400 Per Year For 5 1 (46.87 KiB) Viewed 15 times
Investment X offers to pay you $6,100 per year for 9 years, whereas Investment Y offers to pay you $8,400 per year for 5 years. a. If the discount rate is 7 percent, what is the present value of these cash flows? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) b. If the discount rate is 23 percent, what is the present value of these cash flows? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) a. 39,742.72 Present value of Investment X at 7 percent Present value of Investment Y at 7 percent b. Present value of Investment X at 23 percent $ 25,011.22 Present value of Investment Y at 23 percent