Question
A company must repay the bank a single payment of $30,000 cash in 3 years for a loan it entered into. The loan is at
| A company must repay the bank a single payment of $30,000 cash in 3 years for a loan it entered into. The loan is at 10% interest compounded annually. The present value factor for 3 years at 10% is 0.7513. The present value of the loan (rounded) is: |
Multiple Choice
-$27,000.
-$22,539.
-$39,000.
-$30,000.
-$21,000.
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Cornerstones Of Financial Accounting
Authors: Jay Rich, Jefferson Jones, Maryanne Mowen, Don Hansen, Donald Jones, Ralph Tassone
2nd Canadian Edition
0176707123, 978-0176707125
