If the Future Value of an Ordinary, 5-Year Annuity Is

question 135

Multiple Choice

If the future value of an ordinary, 5-year annuity is $100,000 and interest rates are 5 percent, what is the future value of the same annuity due?

• A) $95,238.10
• B) $100,000.00
• C) $105,000.00
• D) $107,000.00

---

Definitions:

Empathy

The ability to understand and share the feelings of another person from their perspective.

Concrete Thinking

Involves focusing on the physical world and the direct experience, rather than abstract or hypothetical concepts.

Industry

The economic activity concerned with the processing of raw materials and manufacture of goods in factories.

Great Difficulty

A situation that is extremely challenging or hard to overcome.