A Company Wishes to Make Annual Contributions into a Fund

question 101

Multiple Choice

A company wishes to make annual contributions into a fund intended to retire $400,000 in debt five years from now.The amount to contribute each year equals $400,000

• A) divided by the appropriate future value of an ordinary annuity factor.
• B) times the appropriate present value of an ordinary annuity factor.
• C) times the appropriate future value of an ordinary annuity factor.
• D) divided by the appropriate present value of an ordinary annuity factor.

---

Definitions:

Established

Something that has been in existence for a long time and is therefore recognized and accepted.

Administered

The act of managing or supervising the execution, use, or conduct of operations, laws, or policies.

Distal Convoluted Tubules

Tubes in the kidney where filtration, reabsorption, and secretion occur, resulting in the formation of urine.

Proximal Convoluted Tubules

The portion of the nephron in the kidney that is responsible for reabsorbing water, ions, and nutrients from the filtrate back into the blood.