Читать книгу Fundamentals of Financial Instruments - Sunil K. Parameswaran - Страница 102

The present value of $25,000 using a discount rate of 12% per annum is:

The rate of return, if one were to make an investment of $15,888.15 in return for a payment of $25,000 four years hence, is 12%. If the investor were to pay a lower price at the outset, he would earn a rate of return that is higher than 12%, whereas if he were to invest more, he would obviously earn a lower rate of return. In this case Alfred is being asked to invest $12,500, which is less than $15,288.15. Consequently, the investment is attractive from his perspective.