Present and future value tables of $1 at 9% are presented below.

-LeAnn wishes to know how much she should invest now at 7% interest in order to accumulate a sum of $5,000 in four years. She should use a table for the:
A) Present value of $1.
B) Future value of $1.
C) Present value of an ordinary annuity of $1.
D) Future value of an annuity due of $1.

Question

Present and future value tables of $1 at 9% are presented below.

-LeAnn wishes to know how much she should invest now at 7% interest in order to accumulate a sum of $5,000 in four years. She should use a table for the:
A) Present value of $1. 
B) Future value of $1. 
C) Present value of an ordinary annuity of $1. 
D) Future value of an annuity due of $1.

Quizplus · Accepted Answer

$5,000 × (PV of $1: n = 4, i = 7%) = Amount to Invest

Present and Future Value Tables of $1 at 9% Are