Question

Which of these groups of values plugged into the TVM Solver of a graphing

calculator will return the same value for PV as the expression
($355)((1+0.002) 30 -1₂(0.002)(1+0.002) 30
A. N=36; 1% = 2.4; PV = ; PMT=-355; FV=0; P/Y=12; C/Y=12; PMT:END
B. N=3; 1% = 0.2; PV = ; PMT=-355; FV=0; P/Y=12; C/Y=12; PMT:END
C. N=36; 1% = 0.2; PV = ; PMT=-355; FV=0; P/Y=12; C/Y=12; PMT:END
D. N=3; 1% = 2.4; PV = ; PMT=-355; FV=0; P/Y=12; C/Y=12; PMT:END

Answer 1

The correct group of values to plug into the TVM Solver of a graphing calculator is option A: N=36, 1% = 2.4, PV = ; PMT=-355, FV=0, P/Y=12, C/Y=12, PMT:END. Plug these values in and press the PV button to find the present value, which should be the same as the expression ($355)((1+0.002)^{30} -1)/(0.002)(1+0.002)^{30}.

Step-by-step explanation:

The correct group of values to plug into the TVM Solver of a graphing calculator that will return the same value for PV as the expression ($355)((1+0.002)^{30} -1)/(0.002)(1+0.002)^{30} is option A. N=36; 1% = 2.4; PV = ; PMT=-355; FV=0; P/Y=12; C/Y=12; PMT:END.

Plug the values N=36, 1% = 2.4, PMT=-355, FV=0, P/Y=12, C/Y=12, and PMT:END into the TVM Solver of a graphing calculator.

Press the PV button on the calculator to find the present value.

You should get the same value for PV as the expression ($355)((1+0.002)^{30} -1)/(0.002)(1+0.002)^{30}.