Question :
86.
Compute the present value of the following single amounts to : 1412659
86. 
Compute the present value of the following single amounts to be received at the end of the specified period at the given interest rate.


87. 
DON Corp. is contemplating the purchase of a machine that will produce net aftertax cash savings of $20,000 per year for five years. At the end of five years, the machine can be sold to realize aftertax cash flows of $5,000. Interest is 12%. Assume the cash flows occur at the end of each year.


88. 
Touche Manufacturing is considering a rearrangement of its manufacturing operations. A consultant estimates that the rearrangement should result in aftertax cash savings of $6,000 the first year, $10,000 for the next two years, and $12,000 for the next two years. Interest is at 12%. Assume cash flows occur at the end of the year.
PV of future cash flows: 
