The Future Value of $200 Received Today and Deposited at 8

question 111

Multiple Choice

The future value of $200 received today and deposited at 8 percent for three years is ________

• A) $158
• B) $200
• C) $248
• D) $252

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Definitions:

Par Value

The nominal or face value of a bond, share, or other financial instrument, as stated on the certificate or instrument.

Stockholders' Equity

The ownership interest of shareholders in a company, represented by the amount of capital contributed plus retained earnings minus liabilities.

Treasury Stock

Shares that were issued and subsequently reacquired by the issuing company, reducing the amount of outstanding stock.

Common Stock

A form of investment indicating partial ownership in a company, granting the holder the right to vote and possibly receive dividends.