Answered: what is the present value of $2500 per…

Business

Finance

what is the present value of $2500 per year for 9 years discounted back to the present at 11 percent

Personal Finance

13th Edition

ISBN:9781337669214

Author:GARMAN

Publisher:GARMAN

Chapter1: Understanding Personal Finance

Section1.4: Perform Time Value Of Money Calculations

Problem 3CC

See similar textbooks

Related questions

Q: Determine the present value of $1,200,000 to be paid after 20 years if the discount rate were 6%.

A: Future value = $ 1,200,000 Discount rate = 6% Period = 20 Years

Q: What is the present value of $900 to be received 10 years from now discounted back to the present…

A: Present value of cash flows is the value of receiving a future cash flow discounted back to the…

Q: Determine the present value if OMR15,000 is to be received at the end of eight years and the…

A: The present value = amount to be received after 8 months * PVIF (discount rate , n) = $15000 * PVIF…

Q: ted back to the present at 10 percent? the present value of $900 to be received 10 years from now…

A: Present Value: Given a certain rate of return, the present value (PV) of a future amount of money or…

Q: present value of $153,000 to be received in 14 years from today. Assume a per annum discount rate…

A: The present value of the amount can be computed as follows:- Present value= Amount/ (1+r)^n Amount =…

Q: Find the present value that will generate the future value of $8000, compounded annually at 5% for 2…

A: Formulas: Present value = Future value / (1+rate)^years

Q: What present value amounts to $15,000 if it is invested for 20 years at 6% compounded annually?…

Q: What is the present value of $900 to be received 13 years from now discounted back to the present at…

A: Future value = $ 900 Period = 13 Years Interest rate = 11%

Q: What is the present value of 10,000 TL to be received at the end of 3 years if the discount

A: Present value is given future value divided by discount rate times number of years.

Q: What is the aggregate present value of $500 received at the end of each of the next three years,…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: Present value of an annuity) What is the present value of the following annuities? a. $2,400 a…

A: Present value of annuity is calculated by discounting all the future cash flows at a given discount…

Q: 1. Find the values for the following: a. An initial $500 compounded for 1 year at 6 percent. b. An…

A: As per Bartleby honor code, when multiple questions are asked, the expert is required only to solve…

Q: What is the present value of Php100,000 received in fifteen years with an annual discount rate of 5%…

A: Present value discount factor = 5%, 15 years = (5%/12), (15 years x 12 ) = 0.42%, 180 = 0.47310

Q: You will receive annual payments of $4,000 at the end of each year for ten years (10 payments). The…

A: Given PMT (periodic payment) = $4000 nper (time) =10 rate =9%

Q: What is the present value of $84,253 to be received or paid in 5 years discounted at 11% by factor…

A: The Present Value Factor (PVF) for nth year discounted at rate r (r%) can be expressed as:

Q: Marigold Corp. will receive $720000 in a future year. If the future receipt is discounted at an…

A: The nominal future sum of money that a given sum of money is "worth" at a certain time in the…

Q: Find the present value of $4,600 under each of the following rates and periods: (Round your final…

A: Present value is the worth of the amount in present times that is expected to be received in future…

Q: What is the present value of $1,400 a year at a discount rate of 8 percent if the first payment is…

A: Present value or value of 23 annual payments (PMT) of $1,400 at a rate of (r) of 8% at the end of 6…

Q: What is the present value of $500 to be received 10.5 years from today when the annual discount rate…

A: Note : 1. As per the guidelines only first question will be answered. Kindly post the remaining…

Q: 9-8 Find the future value of the following annuities due: a. $400 per year for 10 years at 10…

A: Annuities are periodic cash flows for a definite number of periods. Ordinary annuity is referred as…

Q: 9. What is the present value of OMR12,500 to be received 10 years from today? Assume a discount rate…

A: Present value of future value is given by interest rate and discount rate.

Q: Find the following values for a lump sum assuming annual compounding: The future value of $500…

A: Before we get into the solution, let's understand two reciprocal concepts:If present value (PV) is…

Q: nd the present value that will generate the future value of $1,000 at 7% compounded yearly for 7…

A: Using excel PV function

Q: What is the present value of $100,000 to be received after 40 years with an 18 percent discount…

A: Present value: It is the present value of future cash flows with a specified discount rate applied…

Q: What is the percent value of : A) $8,000 in 10 years at 6 percent? B) $ 16,000 in 5 years at 12…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: What is the value today of $3,200 per year, at a discount rate of 10 percent, if the first payment…

A: First, we calculate the present value in year 5 of the annuity and then once again calculate the…

Q: Compute the future value o

A: Future Value is defined as the amount that is accumulated at some upcoming period of time. The…

Q: Please calculate the initial amount needed to have $10,000 after 8 years at 6% compounded quarterly…

A: Here, Future Value Required is $10,000 Compounding Period is quarterly i.e 4 periods in a year…

Q: Calculate the present value of each, discounted at 10 percent, of receiving: AMOUNT YEAR 800 END…

A: Answer 1) Calculation of Present value of $ 800 receivable at the end of Year 4 discounted at 10%…

Q: Find the present values of these ordinary annuities. Discounting occurs once a year. $400 per year…

A: It is essential for the management to determine the present value of all the future cash flows while…

Q: 4. What are the present values of the following cash flows? A. $1,000 to be received in 8 years if…

A: a. PV = FV / (1 + r / n)nt Where, PV = Present value FV = Future value r = Rate of interest…

Q: What is the present value of a $360 payment in one year when the discount rate is 9 percent? (Round…

A: Payment in 1 year (P1) = $360 n = 1 year r = 9%

Q: What's the present value of $12,000 discounted 5 years if the appropriate interest rate is 4.5%,…

A: The value today can be calculated with the help of present value function

Q: What is the present value of $100,000 to be received at the end of 25 years given a 5% discount…

A: Present value if the value of a future amount at current time. Present value formula: Present Value…

Q: 2. The following are exercises in present values: a. $100 at the end of three years is worth how…

A: We need to find the present values of the cashflows for part (a) to part (c). Let CFn be the…

Q: What is the present value of $ 37,200 to be received in 10 years; i = 6%. Present value $

A: Future value = $ 37,200 Period = 10 Years Annual interest rate = 6%

Q: What is the present value of $30,000 in 27 years discounted at 9 percent interest rate

A: Introduction Present Value: Represents the value/ identifies today's worth for the value…

Q: present value of $900 to be received nine years from now discounted back to the present at 9% is

A: Present Value = Future Value/(1+Interest rate)n Where N = time period

Q: Find the present value of an investment that will pay $9,000 at the end of Years 10, 11, and 12. Use…

A: Present value = [Cash flow year 10/(1 + r)10] + [Cash flow year 11/(1 + r)11] + [Cash flow year…

Q: present value

A: SOLUTION:- Present Value= Future value/(1+i)n WHERE: Future Value =$150,000 i= 11%(discount rate)…

Q: To what amount will $4,800 invest for 10years at 9 percent compounded annual accumulate ? 4,800…

A: Investment amount (PV) = $ 4,800 Period (t) = 10 Years Interest rate (r) = 9%

Q: 2. The following are exercises in present values: a. $100 at the end of three years is worth how…

A: Since multiple questions are asked we will solve 1st question for you as per prescribed policy.…

Q: g What is the füfüre compounded at 10 percent? What would be the future value if it were an an-…

A: Answer g: Information Provided; Term = 7 years Rate = 10% Payment = $1000

Q: To what amount will $5,000 invested for 9 years at 10 percent compounded annually accumulate? 5,000…

A: Invested amount (P) = $ 5000 Annual interest rate (r) = 10% Period (t) = 9 Years

Q: c. $100 is received at the end of one year, $500 at the end of two years, and $1,000 at the end of…

Q: What is the present value of $10,000 to be received at the end of 3 years if the discount rate is…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: Which one of the following is the correct formula for computing the present value of $600 to be…

A: Solution: Present value is other ways known as current\ present discounted value.

Q: To what amount will $5,000invested for 10 years at 10 percent compounded annually accumulate?…

A: Initial amount (I) = $5,000 Period (t) = 10 years Interest rate (r) = 0.10 or 10% Accumulated value…

Q: What is the present value of $700. to be received in 14 years from now discounted back to the…

A: The present value of future cash flows will be calculated after discounting the future cash flows at…

Question

what is the present value of $2500 per year for 9 years discounted back to the present at 11 percent?

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

How much would you invest today in order to receive $30,000 in each of the following (for further Instructions on present value In Excel, see Appendix C): A. 10 years at 9% B. 8 years at 12% C. 14 years at 15% D. 19 years at 18%
How much must be invested now to receive $50,000 for 8 years if the first $50,000 is received in one year and the rate is 10%?
Project A costs $5,000 and will generate annual after-tax net cash inflows of $1,800 for five years. What is the NPV using 8% as the discount rate?
How much would you invest today in order to receive $30,000 in each of the following (for further instructions on present value in Excel, see Appendix C): A. 20 years at 22% B. 12 years at 10% C. 5 years at 14% D. 2 years at 7%
What is the present value of $100,000 to be received after 40 years with an 18 percent discount rate?
What is the present value of an annual payment of $9,500 discounted back 8 years at an annual rate of return of 3%?
What is the present value of $10,000 that is to be received in 9 years, if the discount rate is 7% APR compounded annually? A) 5439 B) 5568 C) 5584 D) 5775
What is the present value of $900 to be received 10 years from now discounted back to the present at 10 percent? The present value of $900 to be received 10 years from now discounted back to the present at 10 percent is $
What is the present value of $ 42,000 to be received 6 years from today, assuming an annual discount rate of 9 percent? Round your answer to 2 decimal places
What is the present value of $84,253 to be received or paid in 5 years discounted at 11% by factor formula?
What is the present value of $900 to be received 13 years from now discounted back to the present at 11 percent? The present value of $900 to be received 13 years from now discounted back to the present at 11 percent is Round to the nearest cent
What is the present value of $2,100 to be received 14 years from now assuming a discount rate of 3.7% during the first 4 years, and a discount rate of 5.8% for the remainder of the period?