Terri Allessandro has an opportunity to make any of the following investments:
Investment Purchase Price Future Value Year of Receipt
A $12,382 $23,000 5
B $324 $2,000 19
C $3,408 $11,000 9
D $236 $18,000 48
The purchase price, the lump-sum future value, and the year of receipt are given below for each investment. Terri can earn a rate of return of 12 %on investments similar to those currently under consideration. Evaluate each investment to determine whether it is satisfactory, and make an investment recommendation to Terri. The present value, PV , at 12 % required return of the income from Investment A, B, C, and D is?