Marshall Has Received an Inheritance and Wants to Invest a Sum

question 18

Multiple Choice

Marshall has received an inheritance and wants to invest a sum of money today that will yield $5,000 at the end of each of the next 10 years.Assuming he can earn an interest rate of 5% compounded annually,how much of his inheritance must he invest today? (PV of $1,FV of $1,PVA of $1,and FVA of $1) $\bold{\text{(Use appropriate factor(s) from the tables provided.) }}$

• A)$50,000.00
• B)$47,500.00
• C)$45,125.00
• D)$38,608.50
• E)$100,000.00

---

Definitions:

Hall-effect Sensors

Devices that detect magnetic fields and convert the information into electrical signals.

V-Ref Input

A reference voltage input, typically used in electronic circuits to provide a stable baseline voltage for operational accuracy.

Eaton AMT Inertia Brake

A braking system designed by Eaton that utilizes the inertia of the vehicle to assist in the braking process, often used in automated manual transmissions.

Servo Force

The output force generated by a servo motor, enabling precise control of mechanical systems in response to a signal.