If Nicolai Earns an 8% After-Tax Rate of Return, $20,000

question 101

Multiple Choice

If Nicolai earns an 8% after-tax rate of return, $20,000 today would be worth how much to Nicolai in 5 years? Use Future value of $1. (Round present and future value factor(s) to 5 decimal places.)  

• A) $20,000.
• B) $13,620.
• C) $18,520.
• D) $21,600.
• E) None of the choices are correct.

---

Definitions:

Classified Ads

Short advertisements placed in newspapers or online platforms, sorted into categories.

Age

The length of time that a person or object has existed since its beginning or birth.

Price

The amount of money required to purchase a good or service.

Linear Correlation

An assessment of the magnitude and orientation of a straight-line association between two numerical variables.