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What is the present value of the annuity

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Reference no: EM132869230

Problem 1: An annuity has an interest rate of 7% and makes a quarterly payment of $2000. The annuity is to last for 5 years. What is the present value of the annuity.

A.$32,801.58

B.$8,200.40

C.$2,118.80

D.$21,188.03

Problem 2: Which of the following specifications regarding a bond is contained in the bond's indenture?

A.The maturity date.

B.The interest rate.

C.The bond's pledge.

D.All of these answers.

Reference no: EM132869230

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