Someone Offers to Buy Your Car for Four,equal Annual Payments,beginning

question 85

Multiple Choice

Someone offers to buy your car for four,equal annual payments,beginning 2 years from today.If you think that the present value of your car is $9,000 and the interest rate is 10%,what is the minimum annual payment that you would accept?

• A) $2,839.24
• B) $3,435.48
• C) $3,123.16
• D) $2,250

---

Definitions:

Crystallized Intelligence

The capacity to apply acquired knowledge and experience efficiently.

Fluid Intelligence

The ability to solve new problems, use logic in new situations, and identify patterns, without relying on previously acquired knowledge.

EEG

A test that measures the electrical activity of the brain using small, flat metal discs attached to the scalp.

Stages of Sleep

The different phases of sleep that an individual goes through during a sleep cycle, including REM (Rapid Eye Movement) and non-REM stages.