If the interest rate is 10%, the present value of $100 to be paid in two years is
A. $80.
B. $121.
C. $100/1.12.
D. $100/1.1.
Answer: C
You might also like to view...
What role does information cascade play in job interviews?
What will be an ideal response?
Which word best completes the following sentence? A rational decision maker always chooses the option for which marginal benefit is __________ marginal cost
a. less than b. equal to c. unrelated to d. more than
Consumer surplus is the amount a buyer actually has to pay for a good minus the amount the buyer is willing to pay for it
a. True b. False Indicate whether the statement is true or false
Which of the following is FALSE?
A. Engaging in predatory pricing is always more profitable than permitting existing firms to remain in the market. B. Being the first mover is always best. C. It is always more profitable to engage in limit pricing than to permit entry. D. All of the statements associated with this question are false.