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    Description of Present Value Calculations

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    Calculate the present value for the following questions:

    1. $45,000 today in one lump sum.

    2. $70,000 paid to you in seven equal payments of $10,000 at the end of each of the next seven years.

    3. $80,000 paid in one lump sum 7 years from now

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    Solution Summary

    This solution calculates the present value for 3 different scenarios; 2 of which are lump sums.