Under the terms of his salary agreement, president Newman Walters has an option of receiving either an immediate bonus of $55,000, or a deferred bonus of $70,000
payable in 10 years. Click here to view factor tables Ignoring tax considerations and assuming a relevant interest rate of 4%, which form of settlement should Walters
accept? Present value of deferred bonus $ Accept Bonus NowAccept Deffered Bonus in 10 years
