Mathematics for FinanceMTP Jun 24Question 1533 of 422
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Suppose your mom decides to gift you $10,000$ every year starting from today for the next $16$ years. You deposit this amount in a bank account and you receive $8\%$ p.a. interest rate compounded annually. What is the present value of this money: (Given that $P(15, 0.085) = 8.304236$)

Options

A$83,042$
B$90,100$
C$93,042$
D$10,100$
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Correct Answer

Option b$90,100$

All Options:

  • A$83,042$
  • B$90,100$
  • C$93,042$
  • D$10,100$

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