When Using a Financial Calculator, Which of the Following Is

question 73

Multiple Choice

When using a financial calculator, which of the following is the correct way to find the future value of $200 deposited today in an account for four years paying annual interest of 3%?

• A) N=4, i=.03, PV=-200, PMT=0, solve for FV
• B) N=4, i=3, PV=-200, PMT=0, solve for FV
• C) N=4, i=3, PV=0, PMT=$200, solve for FV
• D) N=4, i=3, FV=200, PMT=0, solve for PV

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Definitions:

Average Variable Cost

The total variable cost per unit of output, obtained by dividing total variable costs by the quantity of output.

Output

The total amount of goods or services produced by a company or country.

TVC

Total Variable Cost, the sum of all variable costs (costs that vary with production volume) associated with producing a specific quantity of a good or service.