If you will receive $3, 000 three years from today and the discount rate is 7 percent, the present value of the $3, 000 is

Name: If you will receive $3, 000 three years from today and the discount rate is 7 percent, the present value of the $3, 000 is
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Question

Quizplus · Accepted Answer

The present value (PV) is calculated using the formula PV = FV / (1 + r)^n, where FV is the future value, r is the discount rate, and n is the number of years. Plugging in the values: PV = $3,000 / (1 + 0.07)^3 = $2,449.

If You Will Receive $3, 000 Three Years from Today