Investment contract that pays equal

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Reference no: EM13907142

Peter Lynchpin wants to sell you an investment contract that pays equal $13,300 amounts at the end of each of the next 23 years.

Required:

If you require an effective annual return of 8 percent on this investment, how much will you pay for the contract today? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

Value today $

Reference no: EM13907142

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Investment contract that pays equal : Peter Lynchpin wants to sell you an investment contract that pays equal $13,300 amounts at the end of each of the next 23 years. If you require an effective annual return of 8 percent on this investment, how much will you pay for the contract today?

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