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Finance Assignment File 3 Solved
Finance Assignment File 3 Solved
What is the present value of a security that will pay $5,000 in 20 years if securities
of equal risk pay 7% annually?
FV
PV = n
(1+i)
5000
=
(1+0.07)20
5000
=
3.869684
PV = 1,292.10