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Assume you will be given $100 each year for 3 years starting today. The 3rd payment will occur at the end of year 2. Assume
Assume you will be given $100 each year for 3 years starting today. The 3rd payment will occur at the end of year 2. Assume "r" is the correct annual interest rate. Which of these expressions equals the present value of these 3 payments? (Canvas might shuffle the answer ordering -- be sure to use the answer labels (e.g., "Answer X") when choosing the appropriate answer). Possible Answers: Answer A: PV = 100 1 - (1+r) 100 1 1 Answer B: PV T (1+r)? Answer C: PV 100 (1+r) 100 Answer D: PV 1 + 100 T (1+r)
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