Find the present value of the following income stream with a discount rate of 5%: One year from now Two years from now Three years from now Four years from now Amount received $200 $300 $400 $500 Enter your answer in dollars and cents (that is, with 2 decimal places).

Find the present value of the following income stream with a discount rate of 5%: One year from now Two years from now Three years from now Four years from now Amount received $200 $300 $400 $500 Enter your answer in dollars and cents (that is, with 2 decimal places).

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter17: Financial Markets

Section: Chapter Questions

Problem 6SCQ: What is the total amount of interest from a 5,000 loan after three years with a simple interest rate...

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Question

Find the present value of the following income stream with a discount rate of 5%:

	One year from now	Two years from now	Three years from now	Four years from now
Amount received	$200	$300	$400	$500

One year

from now

Two years

from now

Three years

from now

Four years

from now

Amount received

$200

$300

$400

$500

Enter your answer in dollars and cents (that is, with 2 decimal places).

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