You will receive 23 annual payments of $20,500. The first payment will be received 5 years from today and the interest rate is 4.9 percent. What is the value of the payments today? Group of answer choices $219,758.73 $279,140.96 $238,211.13 $217,719.85 $230,526.90

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 6MC: You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years....
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You will receive 23 annual payments of $20,500. The first payment will be received 5 years from today and the interest rate
is 4.9 percent. What is the value of the payments today?
Group of answer choices
$219,758.73
$279,140.96
$238,211.13
$217,719.85
$230,526.90
Transcribed Image Text:You will receive 23 annual payments of $20,500. The first payment will be received 5 years from today and the interest rate is 4.9 percent. What is the value of the payments today? Group of answer choices $219,758.73 $279,140.96 $238,211.13 $217,719.85 $230,526.90
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