An investment will pay $16,400 at the end of each year for eight years and a one-time payment of $164,000 at the end of the eighth year. (FV of $1, PV of $1. FVA of $1, and PVA of $1) Note: Use the appropriate factor(s) from the tables provided. Required: Determine the present value of this investment using a 6 percent annual interest rate. Note: Round your intermediate calculations and final answer to nearest whole dollar. Present value of investment
An investment will pay $16,400 at the end of each year for eight years and a one-time payment of $164,000 at the end of the eighth year. (FV of $1, PV of $1. FVA of $1, and PVA of $1) Note: Use the appropriate factor(s) from the tables provided. Required: Determine the present value of this investment using a 6 percent annual interest rate. Note: Round your intermediate calculations and final answer to nearest whole dollar. Present value of investment
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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![An investment will pay $16,400 at the end of each year for eight years and a one-time payment of $164,000 at the end of the eighth
year. (FV of $1. PV of $1, EVA of $1, and PVA of $1)
Note: Use the appropriate factor(s) from the tables provided.
Required:
Determine the present value of this investment using a 6 percent annual interest rate.
Note: Round your intermediate calculations and final answer to nearest whole dollar.
Present value of investment](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe1ed9886-e799-4a86-acfb-bbaa4ec33cf6%2Fe2123b4c-401f-4168-9757-7431f3b458c4%2Fnchhrj_processed.png&w=3840&q=75)
Transcribed Image Text:An investment will pay $16,400 at the end of each year for eight years and a one-time payment of $164,000 at the end of the eighth
year. (FV of $1. PV of $1, EVA of $1, and PVA of $1)
Note: Use the appropriate factor(s) from the tables provided.
Required:
Determine the present value of this investment using a 6 percent annual interest rate.
Note: Round your intermediate calculations and final answer to nearest whole dollar.
Present value of investment
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