You have been offered a job with an unusual bonus structure. As long as you stay with the firm, you will get an extra $67,000 every 7 years, starting 7 years from now. What is the present value of this incentive if you plan to work for the company for 42 years and the interest rate is 4% (EAR)? (Note: Be careful not to round any intermediate steps less than six decimal places.) The present value f this incentive is $ (Round to the nearest cent.)
You have been offered a job with an unusual bonus structure. As long as you stay with the firm, you will get an extra $67,000 every 7 years, starting 7 years from now. What is the present value of this incentive if you plan to work for the company for 42 years and the interest rate is 4% (EAR)? (Note: Be careful not to round any intermediate steps less than six decimal places.) The present value f this incentive is $ (Round to the nearest cent.)
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 22P
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![You have been offered a job with an unusual bonus structure. As long as you stay with the firm, you will get an extra $67,000 every 7 years, starting 7 years from now. What is the present value of this incentive if you plan to work for the company for 42 years and the
interest rate is 4% (EAR)? (Note: Be careful not to round any intermediate steps less than six decimal places.)
The present value of this incentive is $
(Round to the nearest cent.)
…..](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F803a9122-57a2-4b32-8a0b-914f245d2179%2F1f2671b6-53e1-40f1-aa64-8baf4f9eaa88%2F6wddc2d_processed.png&w=3840&q=75)
Transcribed Image Text:You have been offered a job with an unusual bonus structure. As long as you stay with the firm, you will get an extra $67,000 every 7 years, starting 7 years from now. What is the present value of this incentive if you plan to work for the company for 42 years and the
interest rate is 4% (EAR)? (Note: Be careful not to round any intermediate steps less than six decimal places.)
The present value of this incentive is $
(Round to the nearest cent.)
…..
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