Answer:
d. $2,591.85
Explanation:
To solve we can use the present value formula defined by
[tex]PV=\frac{FV}{(1+r)^t}[/tex]
where PV is present value, FV is future value, t is time and r is the interest rate , we can replace the values given in the question. Where 4000 is the future value, the time is t=6 years, and the interest rate is r=0.075, so we get
[tex]PV=\frac{4000}{(1+0.075)^6}=2,591.85[/tex]
