What is the approximate present value of the five payments

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Question - Sharon Walsh has developed an educational software package. She agrees to sell the patent to Pensca for five annual payments of $50,000 each. The payments are to begin three years from today. Given an annual rate of 8%, what is the approximate present value of the five payments?

a. $199,635

b. $184,848

c. $158,477

d. $171,155

e. $369,511

Reference no: EM132918003

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