What is the present value of $38,000 to be received in 18 years, assuming a discount rate of 5.0%?
Question 1 options:
20,847.45
15,789.78
18,451.47
21,442.89
24,388.42
What is the present value of $500 per year, at a discount rate of 8.25 percent, if the first payment is received 8 years from now and the last payment is received 18 years from now?
Question 2 options:
$2,126
$2,025
$1,761
$1,944
$2,166