Using the Present Value Tables, Compute the Present Value of an Ordinary

question 106

Multiple Choice

Using the present value tables, compute the present value of an ordinary annuity which pays $3,000 per year for 15 years, discounted at 9%.

• A)$24,183
• B)$24,200
• C)$23,180
• D)$25,390

---

Definitions:

Material Fact

An important fact that if known might influence a decision maker’s decision, such as in a contract negotiation or in the dissemination of information to investors.

Mislead

To cause someone to have a wrong idea or impression about someone or something.

Ultramares Rule

A doctrine limiting the liability of auditors to third parties for negligence, except in cases of fraud or misrepresentation.

Near Privity

A relationship closely resembling that of direct contractual connection, often recognized in legal contexts despite the absence of an actual contract.