This topic contains a solution. Click here to go to the answer

Author Question: If the discount rate is 5 percent, the present value of annual 100,000 payments in perpetuity (i.e., ... (Read 86 times)

mp14

  • Hero Member
  • *****
  • Posts: 534
If the discount rate is 5 percent, the present value of annual 100,000 payments in perpetuity (i.e., continued indefinitely into the future) is
 a. 2,000,000
  b. 1,246,296
  c. 1,000,000
  d. 976,463
  e. infinite

Question 2

If on Monday you can buy 13 Mexican pesos per U.S. dollar and on Wednesday you can buy 15 Mexican pesos per U.S. dollar,
 a. both the U.S. dollar and the Mexican peso have appreciated
  b. both the U.S. dollar and the Mexican peso have depreciated
  c. the U.S. dollar has appreciated and the Mexican peso has depreciated
  d. the U.S. dollar has depreciated and the Mexican peso has appreciated
  e. the Mexican peso has appreciated and the U.S. dollar has remained constant



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

vish98

  • Sr. Member
  • ****
  • Posts: 326
Answer to Question 1

A

Answer to Question 2

C




mp14

  • Member
  • Posts: 534
Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review


jamesnevil303

  • Member
  • Posts: 337
Reply 3 on: Yesterday
Great answer, keep it coming :)

 

Did you know?

Bacteria have been found alive in a lake buried one half mile under ice in Antarctica.

Did you know?

Interferon was scarce and expensive until 1980, when the interferon gene was inserted into bacteria using recombinant DNA technology, allowing for mass cultivation and purification from bacterial cultures.

Did you know?

Bisphosphonates were first developed in the nineteenth century. They were first investigated for use in disorders of bone metabolism in the 1960s. They are now used clinically for the treatment of osteoporosis, Paget's disease, bone metastasis, multiple myeloma, and other conditions that feature bone fragility.

Did you know?

Many of the drugs used by neuroscientists are derived from toxic plants and venomous animals (such as snakes, spiders, snails, and puffer fish).

Did you know?

Allergies play a major part in the health of children. The most prevalent childhood allergies are milk, egg, soy, wheat, peanuts, tree nuts, and seafood.

For a complete list of videos, visit our video library