Define present value nd illustrate using time line with data

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Reference no: EM13296244

PRESENT AND FUTURE VALUES FOR DIFFERENT INTEREST RATES: Find the following values. Compounding/discounting occurs annually.
a. An initial $500 compounded for10 years at 6 %
b. An initial $500 compounded for 10years at 12%
c. The present value of $500 duein 10 years at 6%
d. The present value of $1,552.90 due in10 years at 12% and at 6%
e. Define present value and illustrate it using a time line with data from part d. How arepresent values affected by interest rates?

Reference no: EM13296244

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