A Contract Guarantees Payment of $500 a Month for the Next

question 177

Multiple Choice

A contract guarantees payment of $500 a month for the next 18 months starting today . How much is that contract worth today if the interest rate is 12% compounded monthly?

• A)$8281.14
• B)$8199.15
• C)$9905.58
• D)$9087.50

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Definitions:

British Plans

This term could refer to strategies or intentions of the British government, military, or other entities, in various historical contexts, and therefore requires more specific context to define accurately.

Treaty Of San Lorenzo

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Pinckney's Treaty

An agreement between the United States and Spain in 1795, which established friendly relations and defined territorial boundaries.

Electoral College

A body of electors established by the Constitution of the United States, responsible for electing the president and vice president.