Answer :
Answer:
the present value is $495,250.76
Explanation:
The computation of the present value is shown below;
Given that
RATE is 7% ÷ 2 = 3.5%
Future value be $500,000
NPER is 2
PMT = $500,000 × 6% ÷ 2 = $15,000
The formula is shown below:
=-PV(RATE,NPER,PMT,FV,TYPE)
After applying the above formula, the present value is $495,250.76