Answer to Question #78826 in Financial Math for allisyn

Question #78826

What's the present value of a $950 annuity payment over six years if interest rates are 10 percent?

Expert's answer

The present value of a $950 annuity payment over six years if interest rates are 10 percent is
PV = 950*(1 - 1/(1 + 0.1)^6)/0.1 = $4,137.5.

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