Question
What is the present value of $40,000 received six years from now, assuming the interest rate is 8% per year? A. $33,016.96 B. $13,016.88 C.
What is the present value of $40,000 received six years from now, assuming the interest rate is 8% per year?
| A. | $33,016.96 | |
| B. | $13,016.88 | |
| C. | $27,016.96 | |
| D. | $25,206.79 |
If the rate of interest rate (r) is 9%, then you should be indifferent about receiving $550 in one year or _____________.
| A. | $585.77 today | |
| B. | $456.72 today | |
| C. | $634.34 today | |
| D. | $504.59 today |
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Banking And Finance Managing The Moral Dimension
Authors: James Lynch
1st Edition
1855731762, 978-1855731769
