Maria, who is now 52 years old, is employed by a firm that guarantees her a pension of $45,000/year at age 65. What is the present value of her first year's pension if the inflation over the next 13 years is 2%/year compounded continuously? 3%/year compounded continuously? 5%/year compounded continuously? (Round your answers to the nearest cent.) at 2%/year at 3%/year at 5%/year

Maria, who is now 52 years old, is employed by a firm that guarantees her a pension of $45,000/year at age 65. What is the present value of her first year's pension if the inflation over the next 13 years is 2%/year compounded continuously? 3%/year compounded continuously? 5%/year compounded continuously? (Round your answers to the nearest cent.) at 2%/year at 3%/year at 5%/year

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter27: Time Value Of Money (compound)

Section: Chapter Questions

Problem 8E

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