Author Question: If you own a perpetuity of 100 and if the discount rate is 5 percent, then its present value a. ... (Read 40 times)

Pea0909berry · **on:** Jun 30, 2018

If you own a perpetuity of 100 and if the discount rate is 5 percent, then its present value
a. cannot be determined unless we know the number of years
b. is 95.21
c. is 105
d. is 2,000
e. is infinite

Question 2

Foreign nations' demand for dollars increases as
a. Americans travel abroad
b. foreigners purchase American goods
c. Americans purchase foreign goods
d. Americans buy foreign stocks or bonds
e. Americans send cash gifts abroad