What is the relationship between the PVIFi,n (Table 5-4) and the PVIFAi,n (Table 5-8)? What is the PVIFA10%,10yrs? Add up the values of the PVIF10%,n for n = 1, ..., 10. What is this value? Why do these values have the relationship they do?
Please see the attached Tables© BrainMass Inc. brainmass.com June 3, 2020, 10:06 pm ad1c9bdddf
PVIFi means the present value of $ 1 now.That is if we receive $1 after 10 years at the discount rate of 10%, then the value of ...
The solution clearly explains and differentiates the present value of money and the present value of annuity.