What is the real (adjusted for inflation) present value of $104.25 that you could receive one year from now, given that the rate of interest is 4.25 percent and the anticipated rate of inflation is 1 percent?
A. $100.00
B. $100.97
C. $107.64
D. $99.05
Answer: B
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All of the following are part of the "state health insurance marketplaces" provision of the Patient Protection and Affordable Care Act (ACA) except
A) small businesses with fewer than 50 employees are exempt from being required to participate in the program. B) the marketplaces offer health insurance policies that meet certain specified requirements. C) each state is required to establish an Affordable Insurance Exchange. D) low-income individuals are eligible for tax credits to offset the costs of buying health insurance.
In the four-quadrant diagram of the specific factors model, the graph in the upper left quadrant is a country's
A) production function for food. B) production possibility frontier. C) labor allocation constraint. D) production function for cloth. E) labor supply curve.
Ceteris paribus means
A) "all variables are independent." B) "other things being equal." C) "some assumptions must be accepted without proof." D) "some theories are not rational."
If the interest rate is 10%, then $1 received one year from now is worth how much today?
A) $1.10 B) $1.00 C) $0.91 D) $0.90