Suppose a supplier has an agreement with a firm to be paid $3,500 in 2 years. If the annual interest rate is 4 percent, the supplier would be indifferent between receiving ________ now and waiting 2 years to receive the $3,500.
A) $3,233.46
B) $3,235.95
C) $3,450.45
D) $3,451.32
B) $3,235.95
You might also like to view...
Suppose a start-up company can operate from a traditional office space or from a virtual office in which there is no physical office location and the employees collaborate over internet connections from their individual homes
Shirking is more difficult to monitor under the virtual office plan. How would the efficiency wage and level of employment for the virtual office compare to the traditional office plan? A) Efficiency wage and employment are higher B) Efficiency wage is lower, employment is higher C) Efficiency wage is higher, employment is lower D) Efficiency wage and employment are lower
In national income accounting, grain fed to a hog at a commercial hog farm is considered a(n)
a. final good. b. intermediate good. c. consumer good. d. capital consumption allowance.
The text takes the perspective that international politics today is defined by both
a. globalization and antiglobalization. b. continuity and change. c. poverty and prosperity. d. power and peace.
Which statement best completes the following sentence; "The U.S. dollar is to the fifty states as the euro is to…"?
A. The National Central Banks B. The European System of Central Banks C. The European Central Bank D. The states of the European Monetary Union