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The receipts for XYZ Plating are estimated to be 5000 in the first year 3000

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The receipts for XYZ Plating are estimated to be 5000 in the first year 3000;The receipts for XYZ Plating are estimated to be $5,000 in the first year, $3,000 in the second, zero in the third, and $2,000 in the fourth. Using an interest rate of 6%, what is the present value of these expected receipts? Is this a better present value than $2,500 each year over four years?

 

Paper#29436 | Written in 18-Jul-2015

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