Carol Thomas Will Pay Out $6,000 at the End of Year

question 98

Multiple Choice

Carol Thomas will pay out $6,000 at the end of year two and $8,000 at the end of year three. Then Carol will receive $10,000 at the end of year four. With an interest rate of 10%, what is the net value of the payments versus receipts in today's dollars?

• A) ($7,326)
• B) ($10,242)
• C) ($17,794)
• D) ($4,134)

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Definitions:

Digested Nutrients

Molecules resulting from the digestion process that are small enough to be absorbed by the body and used for energy, growth, and cell repair.

Epithelial Cells

Sheets of tightly packed cells that line organs and body cavities as well as make up the skin surface.

Vascular Tissue

Plant tissue involved in the transport of water and nutrients throughout the plant.

Osseous Tissue

The primary structural and supportive connective tissue in the body, forming bones through a dense matrix of calcium salts and collagen fibers.