If we were to receive $7,550 in 50 years, in today's value and at a discount rate of 7.5%, it would be worth $203.
What is the present value of $7,550?
You can find this out through the formula:
= Amount / (1 + rate) ^ number of periods
Solving gives:
= 7,550 / ( 1 + 7.5%)⁵⁰
= 7,550 / 1.075⁵⁰
= $203
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