What is the present value

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Reference no: EM131897951

1. What's the present value, when interest rates are 7.5 percent, of a $230 payment made every year forever? (Round your answer to 2 decimal places.)

2. Compute the present value of $500 paid in three years using the following discount rates: 7 percent in the first year, 8 percent in the second year, and 9 percent in the third year. (Do not round intermediate calculations and round your answer to 2 decimal places.)

Reference no: EM131897951

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