If you put $400 in a bank account and expect to receive $16 in interest payments at the end of the year, the present value of the account at the end of the year is $400.

Name: If you put $400 in a bank account and expect to receive $16 in interest payments at the end of the year, the present value of the account at the end of the year is $400.
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Quizplus · Accepted Answer

The present value of the account at the end of the year would be $416, as it includes the original $400 plus the $16 in interest payments.

If You Put $400 in a Bank Account and Expect