Mary Will Receive $12,000 Per Year for the Next 10

question 76

Multiple Choice

Mary will receive $12,000 per year for the next 10 years as royalty for her work on a finance book.What is the present value of her royalty income if the opportunity cost is 12 percent? Assume that payments come at the end of each year.

• A)$235,855
• B)$67,803
• C)$210,585
• D)$75,939