If the interest rate is 10%, what is the present value of a security that pays you $1,100 next year, $1,210 the year after, and $1,331 the year after that?

Present value = $3,000

Step-by-step explanation:

Given:

Interest rate = 10%

Security pays = $1,100 next year, $1,210 the year after, and $1,331

Find:

Present value

Computation:

Present value = 1,100/(1 + 0.10) + 1,210/(1 + 0.10)² + $1,331/(1 + 0.10)³

Present value = 1,100/(1.10) + 1,210/1.21 + $1,331/1.331

Present value = $3,000

unless you made a typo, the answers are both a and c.

step-by-step explanation:

1.5/3 is .5 whereas 3/9 is .3333333 not proportional

22/33 is .66666 and 4/6 is also .66666 proportional

2/4 is .5 whereas 142/213 is .66666 not proportional

14/7 is 2 and 7/3.5 is also 2 proportional

you could've also checked it by doing this simple division:

if the larger fraction divides with the smaller fraction to equal 1, it is proportional. so let me show you what i mean:

when i divide 22/33 by 4/6 i get 1, so we know it is proportional, and it is the same with 14/7 and 7/3.5. now if i divide 3/9 by 1.5/3 i get .66666 so therefore we know it is not proportional.

there are many ways to do this so i wanted to show you some possible ways.