Please show work or advise how to calculate on TI 83-84? Compute the present val

Question

Please show work or advise how to calculate on TI 83-84?

Compute the present value of $5,300 paid in two years using the following discount rates: 8 percent in the first year and 7 percent in the second year. (Do not round intermediate calculations and round your answer to 2 decimal places.)

Compute the present value of $5,300 paid in two years using the following discount rates: 8 percent in the first year and 7 percent in the second year. (Do not round intermediate calculations and round your answer to 2 decimal places.)

Explanation / Answer

Future value (in second year) = 5300
Second year discount rate = 7%

Value in first year = 5300/(1+7%) = 4953.270128

First year discount rate = 8%

Value in current year = 4953.270128/(1+8%) = 4586.362063

Present value = 4586.36 (rounded to 2 decimals)

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