Given a Present Value Factor of 3

question 61

Multiple Choice

Given a present value factor of 3.7907, assuming a 10% discount rate, the present value of an annuity of $20,000 payment each year for five years is

• A)$5,276.
• B)$26,380.
• C)$75,814.
• D)$379,070.

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Definitions:

Telephone Keypad

An assembly of push-buttons on a telephone, each button representing a set of letters and numbers, used for dialing and typing.

Alphabetically Sequenced Letters

An ordered arrangement of letters based on the conventional sequence of the alphabet.

Encoding Failure

A situation in which the brain fails to create a memory link for information, making it difficult to remember at a later time.

Seconds

Units of time that are equal to one sixtieth of a minute.