Thornton Will Receive an Inheritance of $500,000 Three Years from Now

Multiple Choice

Thornton will receive an inheritance of $500,000 three years from now. Thorton's discount rate is 10% compounded semiannually. Which of the following values is closest to the amount that Thornton should accept today for the right to his inheritance?

A) $373,108.
B) $375,657.
C) $665,500.
D) $670,048.
E) None of these. is within $10 of the correct answer.