Which of the Following Decisions Would Involve the Use of the Future

question 34

Multiple Choice

Which of the following decisions would involve the use of the future value of a $1 ordinary annuity table?

• A) Your brother buys your car and offers to pay you $500 now or $1,500 in two years.
• B) You win a lawsuit and are offered a lump-sum payment today of $100,000 or $15,000 a year for 20 years.
• C) Your father and mother wish to deposit enough money on the date of your high school graduation to enable you to take a cruise that will cost $7,000 when you graduate from college in 4 years.
• D) You want to have $1,000,000 in order to retire at age 55, but need to know how much you will need to deposit each year from now until your 55th birthday.

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Definitions:

Divorce

The legal dissolution of a marriage by a court or other competent body.

Sexually Healthy

A state of physical, emotional, mental, and social well-being in relation to sexuality; it encompasses a positively respectful approach to sexuality and sexual relationships, as well as the possibility of having pleasurable and safe sexual experiences.

Adult Behaviors

Actions and mannerisms typically expected or observed in individuals who have reached the age of maturity.

Coming Out

The process of acknowledging one's own sexuality or gender identity to oneself or others.