Barkley Company will receive $400,000 in a future year. If the future receipt is discounted at an interest rate of 8%, its present value is $252,068. In how many years is the $400,000 received?
A. 5 years
B. 6 years
C. 7 years
D. 8 years
Answer:B
Barkley Company will receive $400,000 in a future year. If the future receipt is discounted at an interest rate of 8%, its present value is $252,068. In how many years is the $400,000 received?
A. 5 years B. 6 years C. 7 years D. 8 years