You are interested in accumulating $10,000 so that you can take a cruise in 3 years.If you trying to solve for the amount that you need to invest each year, earning 6% interest compounded annually, the $10,000 represents:
A) The amount to invest.
B) An annuity.
C) A present value.
D) A future value.

Question

Quizplus · Accepted Answer

The $10,000 represents the future value you aim to accumulate through investments, to be reached in 3 years with an annual interest rate of 6%.

You Are Interested in Accumulating $10,000 So That You Can