What Is the Present Value of a 5-Year Ordinary Annuity

question 21

Multiple Choice

What is the present value of a 5-year ordinary annuity with annual payments of $200,evaluated at a 15 percent interest rate?

• A) $670.43
• B) $842.91
• C) $1,169.56
• D) $1,348.48
• E) $1,522.64

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