Explain why the present values would be higher

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Reference no: EM132025453

Assume an interest rate of 6.3 percent compounded annually. What is the

a. present value of $15,000 received in 14 years?

b. present value of $15,000 received each year for 14 years on the last day of the year?

c. If the interest rate were 6%, explain why the present values would be higher (in words, not math).

Reference no: EM132025453

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