QUESTION 6

1. If the interest rate is 9%, then the present value of $100 to be received ten year from now is:

A.$42.24

B.$56.60

C.$40.

D.$54.64

E.$100

3.23 points

QUESTION 7

1. According to the concept of present value, $250 today is worth:

A.less than the sum of $250 in six months.

B.more than the sum of $250 in six months.

C.equal to the sum of $250 in six months.

D.equal to the sum of $250 in one year.

3.23 points

QUESTION 8

1. Forgoing paid employment to obtain a university degree is an example of an opportunity cost.

True

False

3.23 points

QUESTION 9

1. U.S. poverty thresholds are based on the affordability of:

A.food.

B.housing.

C.clothing.

D.energy.