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3 years ago

Which company sold for the highest cash equivalent value?

Business

1 answer:

Anika [276]3 years ago

6 0

Answer:

Company B (transaction d)

Explanation:

present value of transaction a (company D) = $1,100,000 / 1.08 = $1,018,519

present value of transaction b (company C) = $45,000 x 21.21211 (PV annuity factor, 2.4%, 30 periods) = $954,545

present value of transaction c (company A) = $1,000,000

present value of transaction d (company B) = $100,000 x 10.52141 (PV annuity factor, 4.8%, 150 periods) = $1,052,141

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