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A Payment of $5000 That Was Due 20 Days Ago

Question 88

Multiple Choice

A payment of $5000 that was due 20 days ago and another payment of $4000 that is due 50 days from now are to be settled/replaced by a payment of $6000 today and a payment of $X 90-days from today.If r = 11%,what is the value of X using today as the focal date?


A) $3051.33
B) $3008.81
C) $3001.67
D) $2892.31

Correct Answer:

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