The present value of a future payment:

A. varies depending on when the payment is received and the market interest rate.
B. is independent of the market interest rate.
C. is constant.
D. is independent of when the payment is received.


Answer: A

Economics

You might also like to view...

The relationship between the MPS and the MPC is such that

A. 1 ? MPC = MPS. B. MPC - MPS = 1. C. MPS/MPC = 1. D. MPC ? 1 = MPS.

Economics

In which of the following cases did the U.S. Supreme Court decide that a corporation was an "individual" but not a constitutional citizen?

(a) Nebbia v New York (1934) (b) Munn v Illinois (1877) (c) McCulloch v Maryland (1819) (d) Dartmouth College v Woodward (1819)

Economics

If an older worker earns less than a younger worker for the same job, we have proof of age discrimination

a. True b. False Indicate whether the statement is true or false

Economics

The marginal propensity to consume is equal to:

a) Total spending / total consumption b) Total consumption / total income c) Change in consumption / change in income d) Change in consumption / change in savings

Economics