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Determine the present value of an annuity due of
$5,000
per year for
8
years discounted back to the present at an annual rate of
9
percent. What would be the present value of this annuity due if it were discounted at an annual rate of
14
percent?
Question content area bottom
Part 1
a.If the annual discount rate is
9
percent, the present value of the annuity due is
$enter your response here.
(Round to the nearest cent.)
Part 2
b.If the annual discount rate is
14
percent, the present value of the annuity due is
$enter your response here.
(Round to the nearest cent.)
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