Find the Present Value

question 52

Multiple Choice

Find the present value. Round to the nearest cent.
-To get $10,500 after7 years at 4% compounded annually

• A) $8,298.30
• B) $2,520.86
• C) $7,599.18
• D) $7,979.14

Grasp the significance of deliberate practice in mastering entrepreneurship skills.

Acknowledge the importance of family-owned businesses in the U.S. economy.

Identify the various costs associated with franchising a business.

Understand the role of deliberate practice in achieving high performance in entrepreneurship.

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Definitions:

Dividend Revenue

Income received from owning shares of stock in a company when it distributes a portion of its earnings to shareholders.

Fair Value

The estimated price at which an asset could be bought or sold in a current transaction between willing parties, other than in a liquidation sale.

Equity Method Investments

Investments in which the investor has significant influence, but not control, over the investee, and the investment is accounted for using the equity method, recognizing the investor's share of the investee's profits and losses.

Cash Dividends

A cash distribution of profits by a corporation to its shareholders.