Using the Following Partial Table of Present Value of $1

question 92

Multiple Choice

Using the following partial table of present value of $1 at compound interest, determine the present value of $50,000 to be received three years hence with earnings at the rate of 12% a year:?? $$\begin{array} { c c c c } \text { Year } & 6 \% & 10 \% & 12 \% \\\hline 1 & 0.943 & 0.909 & 0.893 \\2 & 0.890 & 0.826 & 0.797 \\3 & 0.840 & 0.751 & 0.712 \\4 & 0.792 & 0.683 & 0.636\end{array}$$

• A) $37,550
• B) $31,800
• C) $35,600
• D) $39,850

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Net Price

The actual price paid for a product or service after deducting any discounts, rebates, or allowances.

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A fee paid to a real estate agent or broker for facilitating the sale or lease of a property, typically a percentage of the sale price.

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The amount of money received from a sale after all costs and expenses have been paid.

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