What Is the Present Value Today of an Ordinary Annuity

question 23

Multiple Choice

What is the present value today of an ordinary annuity cash flow of $3,000 per year for forty years at an interest rate of 10.0% per year if the first cash flow is six years from today?

• A)$120,000.00
• B)$1,327,777.67
• C)$45,138.89
• D)$33,730.40

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