What Is the Present Value of $10 000 to Be

question 13

Multiple Choice

What is the present value of $10 000 to be received in 5 years from now if the annual discount rate is 10% and the compounding frequency is annual?

• A)$5000.00
• B)$16105.10
• C)$6666.67
• D)$6209.21

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Definitions:

Receiver

A device or individual that receives and processes signals or information.

Standard Communication Model

A framework describing the process of transmitting information from sender to receiver through various channels and barriers.

Information

Data that is processed, organized, or structured in a given context to make it meaningful or useful.

Message

A piece of information or communication conveyed from one person or group to another, often through a medium such as speech, writing, or signals.