The Present Value of an Ordinary Annuity of $350 Each

question 119

Multiple Choice

The present value of an ordinary annuity of $350 each year for five years, assuming an opportunity cost of 4 percent, is

• A) $288
• B) $1,896.
• C) $1,750.
• D) $1,558.

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Definitions:

Middle Adulthood

A stage of life typically characterized by ages 40 to 65, focusing on personal and professional achievement, health maintenance, and preparation for senior years.

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A period of psychological change and self-evaluation that usually occurs between the ages of 40 and 60, often characterized by reevaluation of life goals and values.

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