Question: For the cash flow diagram below, which equation demonstrates the correct functional notation that will solve for the unknown P? (Assume there is $5,000 in

For the cash flow diagram below, which equation demonstrates the correct

For the cash flow diagram below, which equation demonstrates the correct functional notation that will solve for the unknown P? (Assume there is $5,000 in the account at the end of year 4.) 4000 is 9% P? F $5,000 0 3 4 O P-5000(P/F, 9%, 4) + 4000(P/F, 996, 4) O P = 5000(F/P, 996, 4) + 4000(F/P, 996, 2) 0 O O P = 5000(P/F, 996, 4)-4000(P/F, 996, 2) P = 5000 + 4000 P = 5000-4000

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