Your Client Is Scheduled to Receive $2,000 at the End

question 62

Short Answer

Your client is scheduled to receive $2,000 at the end of each year for the next 10 years. If money is currently worth 7% compounded annually, what is the present value of the annuity? (Taken from CIFP course materials.).

---

Definitions:

Logically Complete

A characteristic of a system or set of propositions where all possible outcomes or options are accounted for, without overlaps or exclusions.

Explanandum

The phenomenon or event that is explained by the explanans in a scientific explanation.

Explanation

A statement or account that makes something clear, often by detailing the causes, context, or mechanisms behind it.

Logical Strength

The degree to which the premises of an argument support its conclusion, determining its cogency or persuasiveness.