A future payment of $⁢3,000 is expected in 3 years. With an annual interest rate of 2% compounded quarterly, what is the present value? Formula: P⁢V=(F⁢V)/((1+(r)/(n))^n⋅t)

Quarterly compounding means there are 4 periods per year, so over 3 years the exponent is 4 × 3 = 12. The present value is $3,000 ÷ (1 + 0.02/4)^12 ≈ $2,825.72, matching choice A, $2,825.72.

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