Question

In: Finance

What is $100 today, plus $100 at the end of 1 year, plus $200 at the...

What is $100 today, plus $100 at the end of 1 year, plus $200 at the end of 2 years, plus $300 at the end of 3 years, worth to you today, given a discount rate of 4%

What is $100 today, plus $100 at the end of 1 year, plus $200 at the end of 2 years, plus $300 at the end of 3 years, worth to you at the end of year 3, given a discount rate of 4%?

Solutions

Expert Solution

Amount worth today= $647.76

Amount worth at the end of 3 years= $728.65

Calculations as below.


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