An Investment Will Make One Payment of $24,000 Eleven Years

question 37

Multiple Choice

An investment will make one payment of $24,000 eleven years from now. What is the current value of this investment if the nominal rate of return is 5.8 percent?

• A) $11,980.86
• B) $12,124.29
• C) $12,390.08
• D) $12,908.30
• E) $13,515.46

---

Definitions:

Recession

A brief phase of economic downturn, signified by reduced commercial and industrial operations, often defined by a sequential fall in GDP over two quarters.

Expansionary Phase

A period within the business cycle where economic activity, including production, sales, and employment, is growing.

Consumer Confidence

A statistical measure that reflects the overall economic health as perceived by consumers, based on their spending and saving habits.

Stock Market

A public marketplace for buying and selling shares of publicly held companies, reflecting the investment climate and economic health.