Question

Question 5 of 10The following group of values was entered into the TVM Solver of a graphingcalculator. N = 108; 1% = 6.6; PV = ; PMT = -620 FV = 0; P/Y = 12; C/Y = 12;PMT:END. Which of these expressions will return the same value for PV?A.(5620)((1 +0.0055) - 1)(0.0055)(1 +0.0055)B.(5620)((1 +0.066) 108 - 1)(0.066)(1+0.066) 108C.($620)((1 +0.066) - 1)(0.066)(1+0.066)D.-1)($620)((1+0.0055) 108(0.0055)(1 +0.0055) 108SUBMIT

Answer 1

TVM means time and value of money

PV means present value

FV means future value

PMT means amount of payment

P/Y is the payments per year

C/Y is the

N is the number of years

If we see the options there are two that contains 1%= 6.6. So the answer should be between this two options,

BUT theres a difference : in option B it says 5620 but the problem says -620, that is on option C.

So the correct option is C . Just rest to probe that this is the final result using the TVM of a graphic calculator.