Multiple Choice
Which of the following transactions would best use the present value of an annuity due of 1 table?
A) Bengatti,Inc.leases a truck for 5 years with annual lease payments of $20,000 to be made at the beginning of each year.
B) Turkel Co.leases a warehouse for 7 years with annual lease payments of $120,000 to be made at the end of each year.
C) Ponzi,Inc.borrows $40,000 and has agreed to pay back the principal plus interest in three years.
D) Skool,Inc.wants to deposit a lump sum to accumulate $80,000 for the construction of a new parking lot in 4 years.
Correct Answer:

Verified
Correct Answer:
Verified
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