discount-factor

  1. B

    Understanding discount factor

    Hi all, Refer to the attached, I have a question to ask. Based on the previous slide which states PV = FV x Discount factor. If I apply it on the highlighted portion, PV will be $100.55, FV will be ($100 + $100 x (0.625/100)). May I know why is FV using $100 as the principal amount? Shouldnt...
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