You Need to Calculate the Present Value of an Amount

question 34

Multiple Choice

You need to calculate the present value of an amount at 10% compounded quarterly for 2 years. What interest factor will you use?

• A) 10% for 4 periods
• B) 2.5% for 8 periods
• C) 20% for 2 periods
• D) 10% for 8 periods

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Definitions:

Percent

A way of expressing a number as a fraction of 100.

Experienced

Having practical knowledge or skill in a particular area through direct involvement or participation.

Androgyny

A gender expression that includes a combination of masculine and feminine characteristics.

Self-Confident

The belief in one's own abilities, qualities, and judgment, reflecting a positive view of oneself.