Find the present value of the payments of$8400 to be received at the end of the first year and $8640 to be receive at the end the second year , if compound interest at 20% per year is reckoned .
Are these two different question???
8400 = x (1+20/100)
8400/(1.2) = x = 7000
8640 = x(1+20/100)^2
8640/1.2*1.2 = x = 6000
