Present Value of Inheritance. You have just inherited a large sum and will be paid $200,000 per year for 10 years (starting in year 1). What is the present value of this sum at an interest rate of 4...

Present Value of Inheritance. You have just inherited a large sum and will be paid $200,000 per year for 10 years (starting in year 1). What is the present value of this sum at an interest rate of 4 percent? You can do this by hand (not recommended) or in an Excel spreadsheet. Here is how: enter “2” in cells A1 through A10. In cell C3, enter @NPV(.04, A1:A10) and press enter and you will have the result. What happens to the present value of your inheritance if the interest rate rises to 6 percent? What will happen if the interest rate falls to 3 percent?