The Interest Factor (IF) for the Future Value of an Ordinary

question 95

Multiple Choice

The interest factor (IF) for the future value of an ordinary annuity is 4.641 at 10% for four years. If we wish to accumulate $8,000 by the end of four years, how much should the annual payments be?

• A) $2,500
• B) $2,000
• C) $1,724
• D) $37,128

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