Molly, president of Molly's Muffins, is considering franchising
She has a potential franchise agreement that would see her receive payments of $28,000, $24,000, and $20,000 at the end of years 1, 2, and 3 respectively, and then $12,000 per year after that for 17 years. If Molly requires a return of 10%, then what is the present value of this stream of cash flows? (Round answer to the nearest whole dollar)
A) $132,636
B) $145,900
C) $143,354
D) $156,574
E) $124,440
A
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Keith has purchased a variable annuity. He has not waived his rights during the freelook period. Where will the premiums be initially invested during the free-look period?
A. The policy's separate account B. A fixed income or money market account C. A stock portfolio chosen by the insured D. The insurer's general account for preservation of fund value
Information is defined as numerical or verbal descriptions that usually result from sort of measurement
A. True B. False