A future value of $⁢10,000 is expected after 5 years from an investment with an annual interest rate of 4% , compounded quarterly. Calculate the present value. Use P⁢V=(F⁢V)/((1+(r)/(n))^n⋅t)

Quarterly compounding means there are 4 periods per year, so over 5 years the exponent is 4 × 5 = 20. Substitute into the formula: PV = 10,000 ÷ (1 + 0.04 ÷ 4)^20 = 10,000 ÷ (1.01)^20 ≈ $8,195.44. The present value is choice D, $8,195.44.

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