Using the data given below, select the equation that will correctly calculate the future value of the cash flow at the end of Year 6. Use an interest rate of i =4% Year Income Expense 0 $10,000 1 $1000 2 $900 3 $800 4 $700 5 $600 6 $500 Group of answer choices {10,000 – 1,000(P/A, 4%, 6) -100(P/G, 4%, 5)} (P/F, 4%, 6) {10,000 – 1,000(F/A, 4%, 6) +100(F/G, 4%, 6)} (F/P, 4%, 6) {10,000 – 1,000(P/G, 4%, 6) +100(P/A, 4%, 6)} (F/P, 4%, 6) 10,000 – {1,000(P/A, 4%, 6) +100(P/G, 4%, 6)} (P/F, 4%, 6) {10,000 – 1,000(P/A, 4%, 6) +100(P/G, 4%, 6)} (F/P, 4%, 6)
Using the data given below, select the equation that will correctly calculate the future value of the cash flow at the end of Year 6. Use an interest rate of i =4% Year Income Expense 0 $10,000 1 $1000 2 $900 3 $800 4 $700 5 $600 6 $500 Group of answer choices {10,000 – 1,000(P/A, 4%, 6) -100(P/G, 4%, 5)} (P/F, 4%, 6) {10,000 – 1,000(F/A, 4%, 6) +100(F/G, 4%, 6)} (F/P, 4%, 6) {10,000 – 1,000(P/G, 4%, 6) +100(P/A, 4%, 6)} (F/P, 4%, 6) 10,000 – {1,000(P/A, 4%, 6) +100(P/G, 4%, 6)} (P/F, 4%, 6) {10,000 – 1,000(P/A, 4%, 6) +100(P/G, 4%, 6)} (F/P, 4%, 6)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
Using the data given below, select the equation that will correctly calculate the
Year | Income | Expense |
0 | $10,000 | |
1 | $1000 | |
2 | $900 | |
3 | $800 | |
4 | $700 | |
5 | $600 | |
6 | $500 |
Group of answer choices
{10,000 – 1,000(P/A, 4%, 6) -100(P/G, 4%, 5)} (P/F, 4%, 6)
{10,000 – 1,000(F/A, 4%, 6) +100(F/G, 4%, 6)} (F/P, 4%, 6)
{10,000 – 1,000(P/G, 4%, 6) +100(P/A, 4%, 6)} (F/P, 4%, 6)
10,000 – {1,000(P/A, 4%, 6) +100(P/G, 4%, 6)} (P/F, 4%, 6)
{10,000 – 1,000(P/A, 4%, 6) +100(P/G, 4%, 6)} (F/P, 4%, 6)
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