a. What is the value of an investment that pays $15,000 every other year forever, if the first payment occurs one year from today and the discount rate is 8 percent compounded daily? (Use 365 days a year. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What is the value today if the first payment occurs four years from today? (Use 365 days a year. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) a. Value today b. Value today
a. What is the value of an investment that pays $15,000 every other year forever, if the first payment occurs one year from today and the discount rate is 8 percent compounded daily? (Use 365 days a year. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What is the value today if the first payment occurs four years from today? (Use 365 days a year. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) a. Value today b. Value today
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 16P
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