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The Above Table Shows a 5 Year Payment Plan

Question 6

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  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 plus D (A + B + C +D) or the present value of the first four payments? A) $6,200.50 B) $6,436.27 C) $6,225.32 D) $6,589.23 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 plus D (A + B + C +D) or the present value of the first four payments?


A) $6,200.50
B) $6,436.27
C) $6,225.32
D) $6,589.23

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