What is the present value of a security that promises to pay you $5,000 in 20 years? Assume that you earn 7% if you were to invest in other securities of equal risk.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter2: The Domestic And International Financial Marketplace
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What is the present value of a security that promises to pay you $5,000 in 20 years? Assume that you earn 7% if you were to invest in other securities of equal risk.

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