The future value of $100 at a 5% per year interest rate at the end of one year is:

A. $95.00
B. 107.50
C. $105.00
D. $97.50


Answer: C

Economics

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What is the future value of $1 (i) after 18 years if the interest rate is 4 percent, (ii) after 12 years if the interest rate is 6 percent, (iii) after 9 years if the interest rate is 8 percent, and (iv) after 6 years if the interest rate is 12

percent?

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The ability-to-pay principle is most closely tied to the concept of

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