If the interest rate is 10 percent, the present value of $400 to be received two years from today is about

Name: If the interest rate is 10 percent, the present value of $400 to be received two years from today is about
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The present value (PV) is calculated using the formula PV = FV / (1 + r)^n, where FV is the future value, r is the interest rate, and n is the number of periods. For $400, 10% interest, and 2 years, PV = 400 / (1 + 0.10)^2 = 400 / 1.21 ≈ $331.40.

If the Interest Rate Is 10 Percent, the Present Value