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An investment will pay $900 at the end of each of the next 5 years, $1,100 at the end of Year 6, and $1,200 at
An investment will pay $900 at the end of each of the next 5 years, $1,100 at the end of Year 6, and $1,200 at the end of Year 7. What is its present value if other investments of equal risk earn 11 percent annually?
| a. | $4,492.40 | |
| b. | $1,700.20 | |
| c. | $3,275.28 | |
| d. | $1,541.31 | |
| e. | $6,126.13 |
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