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Finance Assignment | Professional Writing

Author:
May 29th, 2020

Your uncle offers you a choice of $109,000 in 10 years or $35,000 today. Use Appendix B as an approximate answer, but calculate your final answer using the formula and financial calculator methods.

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Homework For You
a-1. If money is discounted at 9 percent, what is the present value of the $109,000? (Do not round intermediate calculations. Round your final answer to 2 decimal places.)

Present value

a-2. Which offer should you choose?

  • $109,000 after 10 years
  • $35,000 today

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