Answer:
$19,950,000
Step-by-step explanation:
From the question, Value of a year of Life =$7,000,000
And Number of Years Left = 3 years
Then Total Value of Life left = Value Per Year X Number of Years Left
=$7,000,000 X 3
=$21,000,000
Note that a discount is the reduction in the actual value of a quantity by a certain amount or percentage.
If there is a discount of 5%.
5% of Total Life Value = (5/100) X 21000000
=0.05 X 21000000
= 1,050,000
Therefore :Value of Life = Actual Value - Discount Value
= 21000000-1050000
= $19,950,000
