Cash Flow is based on the notion that a dollar paid in the future is less valuable than a dollar paid today. Part 2 The present value of a loan in which $1000 is to be paid out a year from today with the interest rate equal to 5% is $.(Round your response to the neareast two decimal place) Part 3 If a loan is paid after two years, and the amount $7000 is to be paid then with a corresponding 7%interest rate, the present value of the loan is $.(Round your response to the neareast two decimal place)
Cash Flow is based on the notion that a dollar paid in the future is less valuable than a dollar paid today. Part 2 The present value of a loan in which $1000 is to be paid out a year from today with the interest rate equal to 5% is $.(Round your response to the neareast two decimal place) Part 3 If a loan is paid after two years, and the amount $7000 is to be paid then with a corresponding 7%interest rate, the present value of the loan is $.(Round your response to the neareast two decimal place)
Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter19: The Basic Tools Of Finance
Section: Chapter Questions
Problem 1CQQ
Related questions
Question
Cash Flow is based on the notion that a dollar paid in the future is less valuable than a dollar paid today.
Part 2
The present value of a loan in which $1000 is to be paid out a year from today with the interest rate equal to 5% is $.
(Round your response to the neareast two decimal place)
(Round your response to the neareast two decimal place)
Part 3
If a loan is paid after two years, and the amount $7000 is to be paid then with a corresponding 7%
interest rate, the present value of the loan is $.
(Round your response to the neareast two decimal place)
interest rate, the present value of the loan is $.
(Round your response to the neareast two decimal place)
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