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Author Question: The present discounted value of a stream of future income increases as the interest rate decreases. (Read 115 times)

abarnes

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on: Apr 19, 2019

Question 1

Dynaflex Corp. is considering an investment project that costs $950 today. It expects the project will yield income of $350 at the end of years 1, 2, and 3. The interest rate must be ________ for the firm to undertake the project.


◦ at least 8%
◦ no more than 5%
◦ exactly equal to 10.5%
◦ It is indeterminate from the given information.

Question 2

The present discounted value of a stream of future income increases as the interest rate decreases.


◦ true
◦ false
Principles of Economics ¦ Case, Fair, Oster ¦ 12th Edition
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Marked as best answer by abarnes on Apr 19, 2019

smrerig

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Reply #1 on: Apr 19, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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abarnes

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Reply #2 on: Apr 19, 2019
Thanks


smrerig

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Reply #3 on: Apr 19, 2019
Welcome :)


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