Jenkins Security Has Learned That a Rival Has Offered to Supply

question 30

Multiple Choice

Jenkins Security has learned that a rival has offered to supply a parking garage with security for ten years for $50,000 up front and a further $20,000 per year.If Jenkins Security offers to provide security for eight years for an upfront cost of $70,000 and a separate yearly payment,what is the maximum that this yearly payment can be so that Jenkins' offer matches the equivalent annual annuity of their rival's offer? (Assume a cost of capital of 6%.)

• A)$13,095
• B)$13,458
• C)$13,995
• D)$15,521
• E)$16,112

---

Definitions:

Reward System

A structured plan designed to motivate employee performance and productivity by recognizing and rewarding achievements through monetary or non-monetary means.

Reward System

A structured scheme designed by organizations to motivate employees by recognizing their work, effort, and accomplishments through tangible and intangible rewards.

Employee Needs

The requirements or factors that employees expect to fulfill through their work, including both physical needs and psychological needs such as recognition and belonging.

Organization Needs

The essential requirements or demands that an organization must meet to achieve its goals, including resources, talent, and infrastructure.