FINC $341$ Exam $2-$ Fall $2022$

Form A

Name:

Roster # $$

$($Directions: Choose the best answer. $($Keep $4$ decimals unless told otherwise.$)$

$1$ Angelo Balzano puts $$8,000$ per year $($at end of year$)$ into an account earning $11\%$ per year for $45$ years. Inflation is expected to be $3\%$ per year. The amount he has in $45$ years would only have which of the following as purchasing power in today's dollars.

a$.$ $$4,893,108$

b$.$ $$2,087,243$

c$.$ $$2,776,290$

d$.$ $$3,741,759$

e$.$ $$4,318,839$