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The Above Table Shows a 5 Year Payment Plan

Question 59

Multiple Choice

  The above table shows a 5 year payment plan. Each payment is made at the end of the year, so after one year, a payment of $ made, after two years another payment of $1,500 is made and so on. The interest rate is 3 percent. -Refer to the table above. What is the value of A plus B plus C (A + B +C) or the present value of the first three payments? A) $4,100.50 B) $4,426.89 C) $3,998.12 D) $4,215.05 The above table shows a 5 year payment plan. Each payment is made at the end of the year, so after one year, a payment of $ made, after two years another payment of $1,500 is made and so on. The interest rate is 3 percent.
-Refer to the table above. What is the value of A plus B plus C (A + B +C) or the present value of the first three payments?


A) $4,100.50
B) $4,426.89
C) $3,998.12
D) $4,215.05

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