1. Rivers Company will receive $10,000 a year at the end of each of the next five years. Using a discount rate of 14%, the present value of the receipts can be stated as ________.

Select one:

A.

PV = $10,000 (PV factor, i = 14%, n = 5)

B.

PV = $10,000 (Ordinary Annuity PV factor, i = 14%, n = 5)

C.

PV = $10,000 (Ordinary Annuity FV factor, i = 14%, n = 5)

D.

PV = $10,000 (FV factor, i = 14%, n = 5)