The present discounted value of $60,000 to be received at the end of three years when the interest rate is 10 percent is closest to
A. $79,860.
B. $49,587.
C. $45,079.
D. $60,000.
Answer: C
You might also like to view...
A trust that is the legal owner of a life insurance policy is
A. a policy holder. B. an insurance trust. C. a trust fund. D. none of these answer options are correct.
Gasoline prices in the United States decreased significantly between 2008 and 2009. A decrease in the price of gasoline, holding other things constant, will cause which of the following to occur?
A) increase the demand for gasoline. B) decrease the demand for gasoline. C) increase the quantity of gasoline demanded. D) decrease the quantity of gasoline demanded.
Under a floating rate system, exchange rates are determined by supply and demand in the foreign exchange market without government intervention
a. True b. False
E-bay, Amazon and other Internet shopping sites provide "seller ratings" done by previous buyers, in order to help deal with the problem of:
A. Adverse selection B. Externalities C. Moral hazard D. Public goods