Which of the following decisions would involve the use of the present value of a $1 ordinary annuity table?
A) Your brother buys your car and offers to pay you $500 now or $1,500 in two years.
B) You win a lawsuit and are offered a lump-sum payment today of $100,000 or $15,000 a year for 20 years.
C) Your father and mother wish to deposit enough money on the date of your high school graduation to enable you to take a $7,000 cruise when you graduate from college 4 years hence.
D) You want to have $1,000,000 in order to retire at age 55, but need to know how much you will need to deposit each year from now until your 55th birthday.
Answer: B
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When asking for an adjustment from a company, what is being asked for?
A) The settlement of a claim B) An opportunity to file a formal complaint C) An opportunity to suggest how a product or service could be improved D) A resolution to a problem before further steps are required E) A discount on a product or service
Ordinary repairs usually result in a debit to the appropriate Accumulated Depreciation account
Indicate whether the statement is true or false
How does the nature of agreements vary between cultures?
What will be an ideal response?