What Is the Present Value (PV) of $90,000 Received Six

question 67

Multiple Choice

What is the present value (PV) of $90,000 received six years from now, assuming the interest rate is 5% per year?

• A) $58,500.00
• B) $57,085.48
• C) $67,159.39
• D) $117,528.93

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Definitions:

Stressor

Any event, situation, or stimulus that causes stress, triggering a physiological or psychological response.

Sympathetic System

Part of the autonomic nervous system that activates the body's rapid involuntary response to dangerous or stressful situations (fight or flight response).

Parasympathetic Branch

Part of the autonomic nervous system responsible for stimulating "rest-and-digest" or "feed and breed" activities that occur when the body is at rest.