**Present Value Calculation Multiple Choice****Question:**If the interest rate is 3 percent, the present value of $900 received at the end of four years is:**Options:**- **Option A:** $792.00- **Option B:** $799.64- **Option C:** $873.79- **Option D:** $927.40**Instructions:**Select the correct answer from the options provided. Calculate the present value using the formula:\[ PV = \frac{FV}{(1 + r)^n} \]Where:- $ PV $ is the present value- $ FV $ is the future value ($900)- $ r $ is the interest rate (0.03)- $ n $ is the number of years (4)

here we calculate the present value and choose the correct option so the calculation of the…

Answered: If the interest rate is 3 percent, the…

If the interest rate is 3 percent, the present value of $900 received at the end of four years is: Multiple Choice O $792.00. $799.64.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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