Estimate the Present Value of an Annuity If Payments Are

question 5

Multiple Choice

Estimate the present value of an annuity if payments are $700 monthly for 14 years and the account earns interest at the rate of 4% /year compounded continuously. Round your answer to the nearest dollar. ​

• A) $85,725
• B) $90,046
• C) $91,280
• D) $92,189

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Definitions:

Empowering Leadership

describes a style of leadership that aims to give employees more autonomy, authority, and confidence to be proactive and make decisions.

Teamwork

The combined action of a group, especially when effective and efficient, working together toward a common goal.

Decision-Making

The cognitive process of selecting a course of action from among multiple alternatives, typically involving critical thinking and analysis.

Management

entails the planning, organizing, directing, and controlling of resources to achieve organizational goals efficiently and effectively.