Assume you estimate the time value of money at 12 percent


A financial company that advertises on television will pay you $57,000 now for annual payments of $9,300 that you are expected to receive for a legal settlement over the next 9 years. Assume you estimate the time value of money at 12 percent.

Use the appropriate time value of money table [Exhibit 1-A,  Exhibit 1-B,  Exhibit 1-C, OR Exhibit 1-D].

(a) What is the present value?

(Round your answer to the nearest whole number. Omit the comma, period, and "$" sign in your response.)

(b) Would you accept this offer?

[Enter "Yes" or "No"]

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Financial Management: Assume you estimate the time value of money at 12 percent
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