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Cari, Inc Wishes to Accumulate 1,000,000 to Be Used to Pay

Question 10

Multiple Choice

Cari, Inc. wishes to accumulate 1,000,000 to be used to pay off a balloon note at the end of 4 years. How much will Cari, Inc. invest today to accumulate the desired amount if the investment earns an annual rate of 12% compounded quarterly? (Select the closest amount)


A) $623,167
B) $530,496
C) $708,416
D) $698,536

Correct Answer:

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