3. Cappela would like to find out the worth today of an amount to be realized
three years from now. If the amount is P37 million at year 3, what will be its
present value given an annual discount rate of 7%?
4. Draco is expected to earn P75 million on the fifth year. What is its worth
today given market rates of 9% compounded annually.
5. Pollux Company has invested 3 million in a special savings account earning
10% interest compounded semi-annually. How much will the investment be
worth by the time the company withdraws the amount at the end of the fourth
year?
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Use ClearTax present value calculator to know how much amount you have to invest now ... interest rate per year, or discount rate, and the number of years.
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