What is the value today of a 10000 payment made in, Finance Basics

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What is the value today of a 10000 payment made in

What is the value today of a 10,000 payment made in perpetuity assuming a 8% discount rate?
Assume the same perpetuity as above but the payments will not begin for another 5 years. What is the present value of such a perpetuity?
What is the relationship between the present value and time? Explain.
What is the relationship between present value and the discount rate? Explain.
Please show how you got the answers.

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Finance Basics: What is the value today of a 10000 payment made in

Reference No:- TGS0602698

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Recent Questions Asked Finance Basics

Q : Working capital is expected to increase by 5000 at the

Q : The offer price is 45 per share and the companys

Q : A 10 year bond pays 5 on a face value of 1000 if similar

Q : A 15-year zero-coupon bond was issued with a 1000 par value

Q : What is the value today of a 10000 payment made in

Q : The management wants the company to grow rather than pay

Q : Winnys office furniture has a contribution margin ratio of

Q : The firm has decided to spend all of its excess cash on a

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Request for Solution File

Ask an Expert for Answer!!

Finance Basics: What is the value today of a 10000 payment made in

Reference No:- TGS0602698

Recent Questions Asked Finance Basics

Q : Working capital is expected to increase by 5000 at the

Q : The offer price is 45 per share and the companys

Q : A 10 year bond pays 5 on a face value of 1000 if similar

Q : A 15-year zero-coupon bond was issued with a 1000 par value

Q : What is the value today of a 10000 payment made in

Q : The management wants the company to grow rather than pay

Q : Winnys office furniture has a contribution margin ratio of

Q : The firm has decided to spend all of its excess cash on a

Q : A family trust will convey property to you in 15 years if

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