What is the present value of liability

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Reference no: EM131950474

Imprudential, Inc., has an unfunded pension liability of $570 million that must be paid in 20 years. To assess the value of the firm’s stock, financial analysts want to discount this liability back to the present.

If the relevant discount rate is 6.3 percent, what is the present value of this liability?

Reference no: EM131950474

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