Interest rates are currently 10%. Calculate the present value of an investment that pays $1,200 a year forever with the first payment starting exactly 5 years from today.
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7,451.06 |
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8,196.16 |
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8,210.10 |
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9,025.45 |
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12,000.00 |

Interest rates are currently 10%. Calculate the present value of an investment that pays $1,200 a...
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John is looking at several options to fund his son’s 4-year university degree. The university fees of $45,000 a year will have be paid starting 11 years from today. He is analysing an insurance plan that pays out $45,000 a year for 4 years with the first payout 11 years from today. The insurance plan has several payment options: Option 1 Pay $60,000 today. Option 2 Beginning 1 year from today, pay $12,000 a year for the next 8 years. Option 3 Beginning...
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