Problemimprudential inc has an unfunded pension liability, Ask an Expert

Accounting

Problem:

Imprudential, Inc. has an unfunded pension liability of $750 million that must be paid in 25 years. To asses the value of the firm's stock financial analysts want to discount this liability back to the present.

Required:

Question: If the relevant discount rate is 8% what is the present value of this liability?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91168199

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