An individual is planning to set-up an education fund for her daughter. She plans to invest $7,000 annually at the end of each year. She expects to withdraw money from the fund at the end of 9 years and expects to earn an annual return of 8%. What will be the total value of the fund at the end of 9 years? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

• $87,413

• $45,360

• $68,040

• $50,400

• $126,000

Jason has a loan that requires a single payment of $4,000 at the end of 3 years. The loan's interest rate is 6%, compounded semiannually. How much did Jason borrow? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

• $3,358.40

• $3,350.00

• $3,660.40

• $4,776.40

• $4,000.00

In a perpetual inventory system, the Merchandise Inventory account must be closed at the end of the accounting period.

TrueFalse