Final answer:
An amount C deposited each year is about the concept of an annuity, a series of equal payments at regular intervals. The present value of these payments can be calculated using an interest rate to determine current value. This concept applies to financial products like bonds with yearly payments. Therefore the correct option isc) Present value
Step-by-step explanation:
If an amount C is deposited each year, rather than having a continuous flow of money, the financial concept being discussed is known as an annuity. An annuity refers to a series of equal payments made at regular intervals. For example, if you invest a certain amount of money each year, you can calculate the future value of these investments or their present value, given an interest rate.
The present value calculations ask what the amount in the future is worth in the present, given this interest rate. By adding up all the present values for the different time periods, you can find out how much a future income stream is worth today.
This approach is commonly used for financial instruments like bonds or retirement accounts, where there are regular yearly payments. The present value of these cash flows can be calculated assuming a certain interest rate or yield, allowing investors to assess the current worth of future cash inflows. Therefore the correct option isc) Present value