SOA Exam FM Sample Question 347
Study guide: Exam FM-2
A store purchased couch #1 for X two months ago and plans to sell it for 1500 six months from today.
The same store purchases couch #2 for X today and plans to sell it for 1500 four months from today.
The annual force of interest is a constant 10%.
The current value of the store's cash flows from the purchase and sale of couch #2 is 260.
Calculate the current value of the store's cash flows from the purchase and sale of couch #1.
- A) 216
- B) 218
- C) 256
- D) 260
- E) 307
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