What Is the Present Value of the Following Payment Stream,discounted

question 3

Multiple Choice

What is the present value of the following payment stream,discounted at 8% annually: $1,000 at the end of year 1,$2,000 at the end of year 2,and $3,000 at the end of year 3?

• A) $5,022.10
• B) $5,144.03
• C) $5,423.87
• D) $5,520.00

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Definitions:

Leadership

The action of leading a group of people or an organization, or the ability to do this through vision, guidance, and direction.

Interpretation

The process of explaining or understanding the meaning of something, often applied to texts, laws, or artworks.

Law

A system of rules that a particular country or community recognizes as regulating the actions of its members and may enforce by the imposition of penalties.

Ethical

Pertaining to or dealing with morals, the principles of morality pertaining to right and wrong in conduct.