Find the present value of $31,000 due in 4 yr at the given rate of interest.

(a) 6%/year, compounded quarterly

$ ?

(b) 3%/year, compounded quarterly

$ ?

1 answer

a) i = .06/4 = .015
n = 4(4) = 16
PV = 31000(1.015)^-16
= 24428.96

b) try it using the same steps as above
let me know what you get