You Expect to Receive $1,000 at the End of Each

Multiple Choice

You expect to receive $1,000 at the end of each of the next three years that you plan to deposit in a bank account paying 6%. Which of the following expressions will calculate your bank balance just after the last payment is deposited?

A) FV = $1,000 [FVF_6,1] + $1,000 [FVF_6,2] + $1,000 [FVF_6,3]
B) FV = $1,000 [1.06]¹ + $1,000 [1.06]² + $1,000 [1.06]³
C) FVA₃ = $1,000 [FVFA_6,3]
D) All of the above