What Is the Present Value of $36,800 to Be Received

question 85

Multiple Choice

What is the present value of $36,800 to be received 6 years from today if the discount rate is 12%?

• A) $18,644.03
• B) $19,407.18
• C) $19,414.14
• D) $20,211.08
• E) $20,390.14

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Definitions:

Mental Activity

Any cognitive operation or process by which an individual becomes aware of or perceives ideas, thoughts, and feelings.

Physical Activity

Any bodily movement produced by skeletal muscles that requires energy expenditure, contributing to overall health.

Hypnotized

Being hypnotized refers to a trance-like state of focused attention and heightened suggestibility, usually induced by a hypnotist.

Suggestibility

A measure of how susceptible a person is to influence by suggestions, often used in psychological contexts to explore how people can be influenced by others' ideas or misremember events.