Assume you have just found out you are entitled to receive $102,000 in 19 years. If the interest rate is 18 percent, what should you bewilling to take today in exchange for the future payment? (Enter your answer as a positive number rounded to 2 decimal places.)

Answer : Future value = Present value * (1 + rate) ^Time Rate = 18% Time = 19 years

Answered: sume you have just found out you are…

Business

Accounting

sume you have just found out you are entitle lling to take today in exchange for the future:

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Assume you have just found out you are entitled to receive $102,000 in 19 years. If the interest rate is 18 percent, what should you be
willing to take today in exchange for the future payment? (Enter your answer as a positive number rounded to 2 decimal places.)

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