Narrative 11-1 Solve the Following Problems Using Either Tables 11-1 or 11-2

question 78

Multiple Choice

Narrative 11-1
Solve the following problems using either Tables 11-1 or 11-2 from your text. When necessary, create new table factors. (Round new table factors to five decimal places, round dollars to the nearest cent and percents to the nearest hundredth of a percent)
-Refer to Narrative in your text 11-1. You wish to have $12,500 in 12 years. Find how much you should invest now at 12% interest, compounded quarterly in order to have $12,500, 12 years from now.

• A) $7,000.00
• B) $3,025.00
• C) $3,208.50
• D) $6,623.25

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Definitions:

Net Income

Net income is the amount of money left after all expenses, taxes, and costs have been subtracted from a company's total revenue.

Revenues

Income generated from normal business operations and includes discounts and deductions for returned merchandise.