Your company will generate $68,000 in an- nual revenue each year for the next seven years from a new information database. If the appropriate interest rate is 8.5 percent, what is the present value of the savings?

Answer 1

I'm going to use the BAII Plus calculator for my answer. So hopefully it makes sense.
PMT = 68,000
I/Y = 8.5
N = 7

Compute the PV to get = $340,058.92

As a note, the number will come out negative in the calculator. That's fine, it's just considering this as a cashflow out, but you want to write it as positive.

Answer 2

I'm dumb as @#%& and typed the PV in wrong. It's supposed to be:

$348,058.92

Sorry....