drakevtran4916 drakevtran4916
  • 13-01-2021
  • Business
contestada

Suppose you will receive $500 in one year and the risk-free interest rate (rf) is 5%. The equivalent value today is closest to:

Respuesta :

abiolataiwo2015
abiolataiwo2015 abiolataiwo2015
  • 16-01-2021

Answer:

$525

Explanation:

Calculation for The equivalent value today

Equivalent value=$500 × (1+.05)

Equivalent value=$500 × (1.05)

Equivalent value= $525

Therefore The equivalent value today is closest to:$525

Answer Link

Otras preguntas

what were the primary improvement that Americans reaped from industrialization and unbanization
oxpecker birds eat pests that bother rhinoceroses. Is this an example of mutualism or commensalism? why?
you are traveling down the interstate averaging 50 MPH. How much has passed when you have traveled 120 miles?
explain how you could use the distribute property and mental math to find 5 times 198
Which literary technique is evident in these words from Beowulf? fain of his fell spoil, faringA. caesuraB. alliterationC.enjambmentD. synecdoche
round 135.91 to the nearest whole number
3 hundreds + 7 hundreds in standard form
what is 1/10 of 60,000
Who helps the offender is helped through the case and is charged with protecting the rights of the offender?
What is 10.6 as a fraction