How is the present value
The present value of a business can be calculated based on the facts given in the question. The formula for calculating the present value is:
PV = (Lease Termination Value – Lease Term Payment) / (1 + r)^t, where r is the discount rate and t is the number of years until lease termination. In this example, PV = (Dec 31, 2019 Value – 12.84 Years Payments) / (1 + r)^12.84. Therefore, it can be calculated by determining what the Dec 31, 2019 Value will be and multiplying that by 1 plus the discount rate raised to 12.84 years to come up with an overall present value for the business.