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Author Question: Assume the current interest rate is 25%. The present value of $1,000 in one year would be (Read 92 times)

awywial

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Question 1

You win a lottery that pays $10,000 each year for the next 5 years beginning next year. How much are your winnings worth today?


◦ $50,000
◦ $45,455
◦ $10,000
◦ indeterminate with the given information

Question 2

Assume the current interest rate is 25%. The present value of $1,000 in one year would be


◦ $180.
◦ $450.
◦ $750.
◦ $800.


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Marked as best answer by awywial on Apr 19, 2019

AaaA

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AaaA

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