Answer: B

Show steps

0 Given an interest rate of 5%, which has a higher present value: A payment of $80 at the present time, or $100 in 2 years? a. The present amount ($80 now) has a higher present value because of a positive time preference. b. The future amount ($100 in 2 years ) has a higher present value, give an interest rate of 5%. c. The present amount ($80 now) has a higher present value, given an interest rate of 5 %. d.The present amount ($80 now) has a higher compounded value. 63 Done