The present value of a $20,000 perpetuity at a 7 percent discount rate is: (Round to the nearest dollar)
A) $186,915
B) $285,714
C) $140,000
D) $325,000

Name: The present value of a $20,000 perpetuity at a 7 percent discount rate is: (Round to the nearest dollar) A) $186,915 B) $285,714 C) $140,000 D) $325,000
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Quizplus · Accepted Answer

PV = 11ea7fdb_fc19_3fee_a768_9faf6a0d590c_TB2902_11 PV = 11ea7fdb_fc19_3fef_a768_754d570bf38a_TB2902_11 = $285,714.29

The Present Value of a $20,000 Perpetuity at a 7