The Present Value of an Obligation of $8,000 Payable in 7

question 1

Multiple Choice

The present value of an obligation of $8,000 payable in 7 years at 8% is:

• A) $3,520
• B) $4,668
• C) $6,412
• D)$7,360

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Definitions:

Shifter Module

A component in a vehicle that enables the driver to change gears manually or automatically.

Nominal Torque Rating

The standard or average torque output that a machine, engine, or system is rated to produce under normal operating conditions.

AutoShift Transmission

An automated manual transmission that combines manual gear selection with automatic control of the clutch, allowing for semi-automatic or fully automatic driving without a traditional clutch pedal.

Inertia Brake

A braking system that utilizes the inertia of a moving vehicle to activate the brake without manual application, often found in trailers.