What is the present worth of your companies offer

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Reference no: EM13796391

Your company seeks to take over Good Deal Company. Companies offer for Good Deal is for $3 million in cash upon signing the agreement followed by 10 annual payments of $300,000 starting one year after the agreement. The time value of money is 10%. What is the present worth of your companies offer?

A. $5,281,830

B. $3 million

C. $2,281,830

D. $4,843,380

Reference no: EM13796391

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