Find the Present Value of the Ordinary Annuity

question 142

Short Answer

Find the present value of the ordinary annuity. Please round the answer to the nearest cent.
$2,000 per semiannual period for 8 yr at 12%/year, compounded semi-annually
P = $__________

---

Definitions:

Consolidated Cash

The total cash and cash equivalents held by a parent company and its subsidiaries, presented as a single figure on consolidated financial statements.

Common Stock

A type of equity ownership in a corporation, representing a claim on a portion of the company’s profits and the right to vote on matters affecting the company.

Acquisition

The process of obtaining control of another company by purchase or exchange of stock.

Fair Values

The estimated market value of an asset or liability, based on current prices in an open and competitive market.