Use the Following Table $\text { Present Value of an Annuity of } 1$

question 13

Multiple Choice

Use the following table, $\text { Present Value of an Annuity of } 1$
$\begin{array}{rrrr}\text { Periods } & 8 \% & 9 \% & 10\%\\1 & .926 & .917 & .909 \\2 & 1.783 & 1.759 & 1.736 \\3 & 2.577 & 2.531 & 2.487\end{array}$ A company has a minimum required rate of return of 9%. It is considering investing in a project which costs $350,000 and is expected to generate cash inflows of $140,000 at the end of each year for three years. The net present value of this project is

• A) $354,340.
• B) $70,000.
• C) $35,436.
• D) $4,340.

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Definitions:

Party Systems

Structures within political landscapes defined by the number of significant political parties and their interactions within a government's framework.

Major Political Parties

The dominant political parties in a political system that typically have the greatest chance of winning elections and holding power, such as the Democratic and Republican parties in the United States.

U.S. Senate

One of the two chambers of the United States Congress, comprising two senators from each state, tasked with legislating, advising and consenting on treaties, and confirming appointments.

Financial Backing

Support provided in the form of funds or resources to finance a project, venture, or individual.