Janice Hardin Sets Aside $5,000 Each Year for 10 Years

question 71

Multiple Choice

Janice Hardin sets aside $5,000 each year for 10 years.She then withdraws the funds on an equal annual basis for the next 10 years.The two tables she should use in the correct order are:

• A) present value of an annuity of $1; future value of an annuity of $1.
• B) future value of an annuity of $1; present value of an annuity of $1.
• C) future value of an annuity of $1; present value of $1.
• D) future value of an annuity of $1; future value of $1.

---

Definitions:

Korean War

A conflict between North Korea (with support from China and the Soviet Union) and South Korea (with support from the United Nations, primarily the United States), lasting from 1950 to 1953 and resulting in a separation along the 38th parallel.

Massive Retaliation

A military doctrine stating that any act of aggression by a potential enemy would be met with an overwhelming and disproportionate nuclear response.

Third World

A term originally used to describe countries not aligned with either the NATO or the Communist Bloc, often referencing developing nations with lower economic indicators.

Developing Nations

Countries with a less developed industrial base and a low Human Development Index (HDI) relative to other countries, often characterized by a focus on agricultural production.