Consider the following alternatives:

i.

$ 150$150

received in one year

ii.

$ 220$220

received in

fivefive

years

iii.

$ 310$310

received in

1010

years

a. Rank the alternatives from most valuable to least valuable if the interest rate is

10 %10%

per year.

b. What is your ranking if the interest rate is

3 %3%

per year?

c. What is your ranking if the interest rate is

15 %15%

per year?