Drew Receives an Inheritance That Pays Him $50,000 Every Three

question 41

Multiple Choice

Drew receives an inheritance that pays him $50,000 every three months for the next two years.Which of the following is closest to the present value (PV) of this inheritance if the interest rate is 8.5% (EAR) ?

• A)$354,223
• B)$364,309
• C)$365,322
• D)$400,000
• E)$339,782

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Definitions:

Brain Functions

The various activities and processes carried out by the brain, including cognition, perception, and controlling bodily functions.

Behavior Genetics Perspective

A field of study examining the role of genetic and environmental influences on behaviors and personality traits.

Hereditary Factors

Genetic elements and characteristics passed down from parents to offspring, influencing various traits and predispositions.

Environmental Factors

Refers to external influences that affect the growth, development, and survival of organisms, including climate, pollution, and urbanization.