Think Break 19 - Think Break#19 Suppose you planted ginseng...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Think Break #19 Suppose you planted ginseng this year, to be harvested in 4 years for $10,000/ac. At a 7.5% discount rate, what is the present value of $10,000 in 4 years? Think Break #19 Answer Suppose you planted ginseng this year, to be harvested in 4 years for $10,000/ac. At a 7.5% discount rate, what is the present value of $10,000 in 4 years? PV = 10,000 x 1/(1.075)4 = $7,488.01 ...
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online