This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: The present value of a promise to pay 5,000 every year forever when the prevailing interest rate is ... (Read 69 times)

Davideckstein7

  • Hero Member
  • *****
  • Posts: 555
on: Jun 30, 2018
The present value of a promise to pay 5,000 every year forever when the prevailing interest rate is 10 percent equals
 a. 5,000
  b. 50,000
  c. 100,000
  d. 250,000
  e. 500,000

Question 2

If the U.S. dollar depreciates, it means that
 a. the value of the U.S. dollar has increased
  b. the value of foreign exchange has decreased
  c. fewer U.S. dollars are required to purchase foreign exchange
  d. more U.S. dollars are required to purchase foreign exchange
  e. exports will immediately fall


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

coreycathey

  • Sr. Member
  • ****
  • Posts: 333
Reply #1 on: Jun 30, 2018
Answer to Question 1

B

Answer to Question 2

D


Davideckstein7

  • Member
  • Posts: 555
Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

momolu

  • Member
  • Posts: 320
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

It is important to read food labels and choose foods with low cholesterol and saturated trans fat. You should limit saturated fat to no higher than 6% of daily calories.

Did you know?

A headache when you wake up in the morning is indicative of sinusitis. Other symptoms of sinusitis can include fever, weakness, tiredness, a cough that may be more severe at night, and a runny nose or nasal congestion.

Did you know?

It is believed that the Incas used anesthesia. Evidence supports the theory that shamans chewed cocoa leaves and drilled holes into the heads of patients (letting evil spirits escape), spitting into the wounds they made. The mixture of cocaine, saliva, and resin numbed the site enough to allow hours of drilling.

Did you know?

Elderly adults are living longer, and causes of death are shifting. At the same time, autopsy rates are at or near their lowest in history.

Did you know?

In ancient Rome, many of the richer people in the population had lead-induced gout. The reason for this is unclear. Lead poisoning has also been linked to madness.

Effects of Elevation on Heart Rate and Ventilation Effects of Elevation on Heart Rate and Ventilation
Reconstructed West Front of the Altar from Pergamon (In Present-day Turkey) Reconstructed West Front of the Altar from Pergamon (In Present-day Turkey)
Honey should never be given to children younger than one year of age Honey should never be given to children younger than one year of age
The Amounts of the Different Minerals in Your Body The major minerals are present in larger amounts The Amounts of the Different Minerals in Your Body The major minerals are present in larger amounts
Total Fertility Rate in Japan: Actual versus Forecast Total Fertility Rate in Japan: Actual versus Forecast
Video: Sister chromatids of a metaphase chromosome animation

For a complete list of videos, visit our video library