Find the present value of the future amount. Assume 365 days in a year. Round to the nearest cent.
-$\$ 19,000$ for 11 months; money earns $5.6 \%$
A) $\$ 18,072.29$
B) $\$ 18,152.87$
C) $\$ 18,944.00$
D) $\$ 17,992.42$

Question

Quizplus · Accepted Answer

The present value is calculated using the formula $ PV = \frac{FV}{(1 + r/n)^{nt}} $. Here, $ FV = 19000 $, $ r = 0.056 $, $ n = 365 $, and $ t = 11/12 $. Plugging in these values gives the present value closest to $\$ 18,072.29$.

Find the Present Value of the Future Amount $19,000\$ 19,000$19,000 For 11 Months; Money Earns

Find the Present Value of the Future Amount $\$ 19,000$ For 11 Months; Money Earns