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You have received a setilement offer from an automobile manufacturer due to mechanical problems with your automoble, The manufacturer will pay you $25,000 in one
You have received a setilement offer from an automobile manufacturer due to mechanical problems with your automoble, The manufacturer will pay you $25,000 in one fump sum six years from now. You can eam 5% on your imvestments. The present value of the marufacturer's setloment offer is closest to (ff using present value tables, use factor amounts rounded to throe decimal places, XXOC, Round your final answer to the noarest whole dollar) (Clid the icon to view Present Value of \$1 tabie). (Click the icon to view Present Value of Ordinary Amuity of \$1 table.) A. $23,750. Present Value of $1 B. $25,000 C. $33,502. D. $18,650
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