Homework Answers
Answer: c. $13,465
i = 0.08/2 = 0.04; n = 4 x 2 = 8
Present value (PV) = FV x PVA(i=0.04;n=8)
PV = $2000 x 6.73274
PV = $13465.48 rounded to nearest dollar = $13465
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