If the interest rate is 5 percent, what is the present value of $100 that will be received 3 years from now?

Name: If the interest rate is 5 percent, what is the present value of $100 that will be received 3 years from now?
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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 $100 received in 3 years at a 5% interest rate, PV = 100 / (1 + 0.05)^3 = $86.38.

If the Interest Rate Is 5 Percent, What Is the Present