Assuming an effective interest rate of 6% pa calculate the present value as at 1...
90.2K
Verified Solution
Link Copied!
Question
Finance
Assuming an effective interest rate of 6% pa calculate the present value as at 1 January 2008 of an annuity payable annually in advance for 25 years from 1 January 2009. The payments start at M3,000 pa and then increase by M500 pa on each subsequent 1 January.
A. M96,336.66
B. M16,533.78
C. M86,533.78
D. M110,620.68
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
