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:

Material Goods

Physical items that are produced for purchase and consumption, providing economic value or utility.

Oppression

The systematic and unjust treatment of people, where power is exercised by one group over another in harmful ways.

Discrimination

Unjust or prejudicial treatment of different categories of people, especially on the grounds of race, age, or sex.

Empowerment

The process of increasing the degree of autonomy and self-determination in people or communities to enable them to represent their interests in a responsible and self-determined way.