Answer: Present value = $7200
Step-by-step explanation: Given Principal that is the original amount is $6000
Rate is 10% every fourth year
But the total period is eight.
So the interest would be paid 8/4 = 2 times.
Therefore,
Simple interest
= {principal * rate * no of times}/100
= {$6000*10*2}/100
Simple interest = $1200
Present value
= principal + Simple interest
= $6000 + $1200
= $7200.
I did click on the picture but I can't see the problems it is zoomed in.
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