Joey Is Planning to Invest His Savings in a Fixed

Multiple Choice

Joey is planning to invest his savings in a fixed income fund. He manages to deposit $700 at the end of the first year, $500 at the end of the second year, $300 at the end of the third year, and $600 at the end of the fourth year. If the fund earns 6 percent interest each year, the terminal value of this uneven cash flow stream at the end of Year 4 is _____.

A) $1,918
B) $1,855
C) $2,097
D) $2,355
E) $1,784