Present Value & Future Value
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1. Present Values. Compute the present value of a $100 cash flow for the following combinations of discount rates and times:
a. r = 8 percent, t = 10 years.
b. r = 8 percent, t = 20 years.
c. r = 4 percent, t = 10 years.
d. r = 4 percent, t = 20 years.
2. Future Values. Compute the future value of a $100 cash flow for the same combinations of rates and times as in problem 1.
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1. Present Values. Compute the present value of a $100 cash flow for the following combinations of discount rates and times:
a. r = 8 percent, t = 10 years.
b. r = 8 percent, t = 20 years.
c. r = 4 percent, t = 10 years.
d. r = 4 percent, t = 20 years.
To the ...
Purchase this Solution
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