Term inyears:

2

5

10

30

Rate:

2.25%

3.125%

3.5%

4.375%

The table above shows the interest rates available from investing inrisk-free U.S. Treasury securities with different investment terms. If an investment offers arisk-free cash flow of $88,000 in two years' time, what is the present value(PV) of that cashflow?

A.

$67,336

B.

$84,170

C.

$117,838

D.