The present value of $1 million to be received 10 years from now will

a. decrease if the interest rate rises.
b. be greater if the funds were going to be received 15 years from now.
c. be greater than $1 million.
d. increase if the interest rate were to rise from 4 percent to 8 percent.


A

Economics

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Refer to the above figure. Profits for this firm are

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