(a) What is the discounted present value now of a perpetuity giving the recipient $120,000/year, using a 5% interest rate?

Published by admin at July 23, 2023

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(a) What is the discounted present value now of a perpetuity giving the recipient $120,000/year, using a 5% interest rate? (b) Using the same interest rate, what is the discounted present value now of an annuity giving the recipient $120,000/year for 30 years? (c) Using the same interest rate, what is the discounted present value now of an annuity giving the recipient $120,000/year for 30 years where the first payment is received 11 years from now?

(a) What is the discounted present value now of a perpetuity giving the recipient $120,000/year, using a 5% interest rate?

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