What is the present value of $400 to be paid in three years if the interest rate is 20%? PV = $231.48 (Round your response to two decimal places.)

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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What is the present value of $400 to be paid in three years if the interest rate is 20%?
PV = $231.48 (Round your response to two decimal places.)
Transcribed Image Text:What is the present value of $400 to be paid in three years if the interest rate is 20%? PV = $231.48 (Round your response to two decimal places.)
Calculate the present value of a $1,300 discount bond with 6 years to maturity if the yield to maturity is 5%.
The present value is $ (Round your response to two decimal places.)
Transcribed Image Text:Calculate the present value of a $1,300 discount bond with 6 years to maturity if the yield to maturity is 5%. The present value is $ (Round your response to two decimal places.)
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