toshanash592 toshanash592

11-10-2017
Business

contestada

Insulorinc. is expecting cash flows of $67,000 at the end of each year for the next five years. if the firm's discount rate is 17 percent, what is the present value of this annuity?

Respuesta :

Kalahira Kalahira

21-10-2017

Answer: $214,356.19 Explanation: Present value of Annuity = P[(1-(1+r)^-n)/r] = 67000(1-(1+0.17)^-5/0.17) = 214,356.19

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