Present Value of 1 Future Value of 1

question 19

Multiple Choice

Present Value of 1 Future Value of 1 Present Value of an Annuity of 1 Future Value of an Annuity of 1 A company is considering an investment that will return $22,000 semiannually at the end of each semiannual period for 4 years.If the company requires an annual return of 10%,what is the maximum amount it is willing to pay for this investment?

• A)Not more than $69,738
• B)Not more than $139,476
• C)Not more than $88,000
• D)Not more than $142,190
• E)Not more than $176,000

---

Definitions:

Direct Shipping Network

A direct shipping network is a distribution model that ships products directly from suppliers to consumers, eliminating intermediaries.

Intermediate Warehouses

Facilities used to store goods temporarily during the middle stages of the supply chain, typically between the manufacturer and the final distribution centers.

Simplicity

Simplicity in a business or design context refers to minimizing complexity to focus on essential features, often leading to increased efficiency and ease of use.

Publicly Owned

Refers to assets owned by the government or the public sector, intended for the benefit of the general public.