What is the present value of a contract that promises to make year end payments to you of $100 for the next 20 years if the interest rate is 5%? The level payments (PMT) are $100 and we know the interest rate and the duration of the contract.© BrainMass Inc. brainmass.com October 10, 2019, 12:51 am ad1c9bdddf
Periodic Payments (PMT) =R=$100
Number of ...
Present Value is determined.