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Find present value of account-discount rate is three percent

Suppose your bank account will be worth $7,000.00 in one year. The interest rate (discount rate) that the bank pays is 8%. What is the present value of your bank account today? What would the present value of the account be if the discount rate is only 3%?

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Finance Basics: Find present value of account-discount rate is three percent

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Find present value of account-discount rate is three percent

Reference No:- TGS0675224

Have a Question? (oR Write a Review)

Recent Questions Asked Finance Basics

Q : Value of the ending inventory using lifo

Q : What is the highest price in terms of a rate

Q : Determining the retained earnings balance

Q : The net impact of the purchase

Q : Find present value of account-discount rate is three percent

Q : The end of each quarter in the amounts

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Find present value of account-discount rate is three percent

Reference No:- TGS0675224

Recent Questions Asked Finance Basics

Q : Value of the ending inventory using lifo

Q : What is the highest price in terms of a rate

Q : Determining the retained earnings balance

Q : The net impact of the purchase

Q : Find present value of account-discount rate is three percent

Q : The end of each quarter in the amounts

Q : Determine expected capital gains yield

Q : How should replacement chain be used in capital budgeting

Q : Calculate the total relevant cost

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