Following is a table for the present value of $1 at compound interest: Year 6% 10% 12% NM 4 1 0.943 0.909 0.893 2 0.890 0.826 0.792 3 0.840 0.751 0.712 0.792 0.683 0.636 5 0.747 0.621 0.567 Following is a table for the present value of an annuity of $1 at compound interest: Year 6% 10% 12% 1 0.909 2 0.943 1.833 2.673 1.736 0.893 1.690 2.402 3 2.487 4 3.037 S 3.465 3.170 4.212 3.791 3.605 Using the tables provided, if an investment is made now for $24,750 that will generate a cash inflow of $8,250 a year for the next 4 years, the net present value (rounded to the nearest dollar) of the investment, assuming an earnings rate of 10%, is Oa. $1403 Ob. $24.750 Oc. $26.153 Od. 58.250 Previous Next > e 1124