If the interest rate is 4.5 percent, what is the present value of a payment of $500 to be made one year from today?
a. $457.14
b. $468.02
c. $478.47
d. None of the above are correct to the nearest cent.
c
You might also like to view...
When a self-aware, present-biased individual invests in a commitment device that will bind him in the future, he will resent that commitment device when the future becomes the present.
Answer the following statement true (T) or false (F)
Suppose a student is attending your college on an athletic scholarship, and doesn't pay a penny for tuition. According to the economic way of thinking, the student's cost of attending college is
A) zero. B) bore completely by the college's athletic fund. C) positive, because the student sacrificed some other opportunity to attend your college. D) positive, because the student still needs food and housing. E) negative, because nobody really gains by trying to combine athletics with higher education.
Refer to the payoff matrix above. Which of the following is the iterated elimination of dominated strategies outcome of the game?
A) Middle/High
B) High/High
C) Low/High
D) Low/Middle
A monopoly exists when there is only one producer in an industry, and no close substitutes for the product exist
a. True b. False Indicate whether the statement is true or false