The future value of $200 received today and deposited for three years in an account which pays semiannual interest of 8 percent is:
A) $253
B) $252
C) $158
D) $134
E) $248

Question

Quizplus · Accepted Answer

FV = PV × 11ea7fdb_fc23_c7f9_a768_e566bc3e023e_TB2902_00 FV = 200 × (1.04 11ea7fdb_fc23_ef0a_a768_1d680490a5e9_TB2902_00 = $253.06
Using a financial calculator:
N = 6, I/Y = 4, PV = -200, PMT = 0, cpt FV = $253.06

The Future Value of $200 Received Today and Deposited for Three