Below Is a Table for the Present Value of $1

question 105

Multiple Choice

Below is a table for the present value of $1 at Compound interest. Below is a table for the present value of an annuity of $1 at compound interest.
Using the tables above, what would be the present value of $10,000 (rounded to the nearest dollar) to be received three years from today, assuming an earnings rate of 6%?

• A) $8,400
• B) $8,900
• C) $7,920
• D) $11,905

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Definitions:

Break-even

The point at which total costs and total revenues are equal, meaning no profit or loss is incurred.

Break-even Point

The point where total costs and total revenues are the same, leading to neither profit nor loss in sales or production levels.

Sales Dollars

The overall income earned from the sales of products or services, measured in currency.

Break-even

The point at which total costs and total revenue are equal, resulting in no profit or loss for the business.