The Solution to This Problem Requires Time Value of Money

question 116

Multiple Choice

The solution to this problem requires time value of money calculations. Reference to Tables 9-1 through 9-4 in the text is necessary to complete the calculations. Kingston inherited $140,000 from an aunt. If Kingston decides not to spend his inheritance but to leave the money in his savings account until he retires in 15 years, how much money will he have assuming an annual interest rate of 8%, compounded semiannually to the closest answer given?

• A) $ 308,000
• B) $ 509,880
• C) $ 454,076
• D) $7,851,900

---

Definitions:

Ventilated Room

A room with a system in place that allows for the continuous exchange of indoor air with fresh outdoor air, crucial for preventing the buildup of pollutants and pathogens.

Patient Learning

The process by which patients gain knowledge about their health, medical conditions, and treatment options to make informed decisions.

Darkened

Made or become dark or dim, typically reducing visibility or suggesting an ominous atmosphere.

Self-Efficacy

An individual's belief in their own ability to succeed in specific situations or accomplish a task.