Calculate the Accumulated Value After Twenty Years of Payments of $12

question 21

Multiple Choice

Calculate the accumulated value after twenty years of payments of $12 000.00 made at the end of each year if interest is 6% compounded semi-annually.

• A) $445 721.73
• B) $322 444.73
• C) $642 766.07
• D) $240 000.00
• E) $441 427.09

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Definitions:

Cost Center

A department or segment of a business to which costs can be allocated but does not directly generate revenue.

Profit Center

A segment or department within an organization that is directly responsible for generating profit, measured by its performance.

Selling Division

A segment of a company focused on the sales and distribution of products or services.

Opportunity Cost

The value of the best alternative that is forgone when a particular decision is made, representing the benefits that could have been received from that alternative.