quiz 15 .

answer the following questions by choose the right answer from a, b c and d

1.Suppose you want to realize a future value of $150,000 in 30 years on an investment you make. The average annual rate of return is 8.75%. What will be the present value of your investment?

a. $1,857,673

b. $12,112

c. $163,125

d. $150,000

2.The three major pillars of the financial sector are the:

a. stock market, the bond market, and the banks.

b. foreign exchange market, the bond market, and the government.

c. stock market, the labor market, and the bond market.

d. banks, the goods market, and the labor market.

3.The fundamental value of a business is the:

a. present value of the future profits it will earn.

b. earnings per share.

c. stock price.

d. value of the forecasted future profits.