Using the tables above, what would be the present value of $10,000 (rounded to the nearest dollar) to be received two years from today, assuming an earnings rate of 6%?
Below is a table for the present value of $1 at Compound interest.
Year 6% 10% 12%
1 .943 .909 .893
2 .890 .826 .797
3 .840 .751 .712
4 .792 .683 .636
5 .747 .621 .567Below is a table for the present value of an annuity of $1 at compound interest.
Year 6% 10% 12%
1 .943 .909 .893
2 1.833 1.736 1.690
3 2.673 2.487 2.402
4 3.465 3.170 3.037
5 4.212 3.791 3.605