Wednesday, 2 May 2012

Re: ..::VU-Pink::.. ...MGT201---How is it calculated...

The correct answer is
891.1846
Calculation

3500,000(1/1.18^50)

=3500,000(0.000254624)


=891.1846


On Wed, May 2, 2012 at 2:54 PM, Shahzad Sadiq <bc100200105@vu.edu.pk> wrote:
Assalam o Alaikum.........

Can somebody guide me how is it calculated.......???

What is the present value of Rs. 3,500,000 to be paid at the end of 50 years if the correct risk adjusted interest rate is 18%?

 

Rs.105,000

Rs.1,500,000

Rs.3975,000

Rs. 350,000



--
Regards,
 
Shahzad Sadiq
BBA(Hons)
5th Semester
 
...~*Virtual University Of Pakistan*~...

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