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Delta Co. has a $10 million principal payment due at the end of 5 years. Assuming a discount rate of 7%, how much should Delt

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Answer #1

Present value=10,000,000*Present value of discounting factor(rate%,time period)

=10,000,000/1.07^5

=10,000,000*0.713

which is equal to

=$7,130,000

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