stephanie-coleman

Question 8

Declan borrowed some money from Brie. He was supposed to pay Brie $1,500 8 months ago and another $500 2 months from today. Declan missed his first payment from 8 months ago. Brie is worried that Declan might not pay her back and would like the entire debt settled today. What would Brie be willing to accept as an equivalent payment from Declan today if she could earn $3.5 in low-risk investments. Hint: A timeline might be helpful