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What is the present value (PV) of $300,000 received six years from now, assuming the interest rate is 10% per year? OA. $169,342 OB. $180,000 OC. $211,678 D. $296,349

What is the present value (PV) of $300,000 received six years from now, assuming the interest rate is 10% per year? OA. $169,342 OB. $180,000 OC. $211,678 D. $296,349

Principles of Accounting Volume 2
Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 11EA: How much would you invest today in order to receive $30,000 in each of the following (for further...
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K What is the present value (PV) of $300,000 received six years from now, assuming the interest rate is 10% per year? OA. $169,342 OB. $180,000 OC. $211,678 OD. $296,349
Transcribed Image Text:K What is the present value (PV) of $300,000 received six years from now, assuming the interest rate is 10% per year? OA. $169,342 OB. $180,000 OC. $211,678 OD. $296,349
← Maturity_(years)_ 1 $97.25 A. 2.89% OB. 5.78% OC. 0.11% OD. 1.44% 2 $94.53 point(s) possible 3 $91.83 GULTA 4 $89.23 Price The above table shows the price per $100 face value of several risk-free, zero-coupon bonds. What is the yield to maturity of the four-year, zero-coupon, risk-free bond shown? 5 $87.53 S u le ps S. S 4. C n, a
Transcribed Image Text:← Maturity_(years)_ 1 $97.25 A. 2.89% OB. 5.78% OC. 0.11% OD. 1.44% 2 $94.53 point(s) possible 3 $91.83 GULTA 4 $89.23 Price The above table shows the price per $100 face value of several risk-free, zero-coupon bonds. What is the yield to maturity of the four-year, zero-coupon, risk-free bond shown? 5 $87.53 S u le ps S. S 4. C n, a
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