- +1-530-264-8006
- info@tutorsglobe.com

Present value of the obligation

Problem: If an organization has an obligation to pay $5,000 to a supplier two years from now, the present value of the obligation:

- is less than $5,000.
- is $5,000.
- is more than $5,000.
- could be calculated using an annuity factor from the present value tables.

Now Priced at $20 (50% Discount)

Recommended **(98%)**

18,76,764

Questions

Asked

21,311

Experts

9,67,568

Questions

Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment
## Q : Simple interest versus compound interest

First City Bank pays 8 percent simple interest on its savings account balances, whereas Second City Bank pays 8 percent interest compounded annually.