Required: Solve for the unknown number of years in each of the following: (Round your answers to 2 decimal places.) Present Years Discount Rate Future Value Value $ 5,600 9% $ 12,840 8,100 10 % 43,410 184,000 17 % 3,645,180 215,000 15 % 1,734,390

Required: Solve for the unknown number of years in each of the following: (Round your answers to 2 decimal places.) Present Years Discount Rate Future Value Value $ 5,600 9% $ 12,840 8,100 10 % 43,410 184,000 17 % 3,645,180 215,000 15 % 1,734,390

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

ChapterA3: Time Value Of Money

Section: Chapter Questions

Problem 3CE

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Concept explainers

Present Value

Present value (PV) is defined as the current or present value of all future sums of cash flow or money at a specified rate of return. This rate of return is known as the discounted rate, which is essentially the interest rate, discounted over some time. The expected cash flows are discounted at a discount rate to compute the present value. The higher the discount rate, the higher the future value (FV), but the lower the present value.

Question

Required:
Solve for the unknown number of years in each of the following: (Round
your answers to 2 decimal places.)
Present
Years
Discount Rate
Future Value
Value
$
5,600
9 %
$
12,840
8,100
10 %
43,410
184,000
17 %
3,645,180
215,000
15 %
1,734,390

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