To assess the value of the firms shares financial analysts


Calculating Present Values In 2008, British Airways had a pension liability of £330 million. Let's assume it must be paid in 30 years' time. To assess the value of the firm's shares, financial analysts want to discount this liability back to the present. If the relevant discount rate is 5.6 per cent, what is the present value of this liability?

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Accounting Basics: To assess the value of the firms shares financial analysts
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