What is the Present Value of a cash payment of $17,434 received 28 years from today...

What is the Present Value of a cash payment of $17,434 received 28 years from today which is discounted at a continuously compounded 2.5% rate of interest?

Expert Solution

PV= FV e^rt

Where,
FV= Future value
PV = Present Value
t = length of time
r= nominal annual interest rate


=17434 / 2.7183^(0.025*28)

=8657.43

jeff jeffy answered 2 years ago

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