An Annuity Pays $47 Per Year for 22 Years

question 24

Multiple Choice

An annuity pays $47 per year for 22 years. What is the future value (FV) of this annuity at the end of those 22 years, given that the discount rate is 8%?

• A) $1563.88
• B) $3127.76
• C) $3649.06
• D) $2606.47

Differentiate between the major variations of online catalogues.

Grasp different facets of supply chain management, including environmental risks and integration strategies.

Recognize ethical considerations and standards within supply chain management.

Understand the concept and calculation of present and future values.

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Definitions:

Ownership Claim

A declaration or assertion of legal rights to possess and use property.

Note Payable

A written promise to pay a specific amount of money, usually with interest, by a certain date.

Money Borrowed

Funds that have been provided by one party to another under the condition that it will be returned, often with interest.

Monetary Unit Assumption

An accounting principle that assumes transactions and events can be expressed in monetary units for recording and reporting.