Multiple Choice
You have been promised a payment of $250,000 in the future.In which case is the present value of this payment highest?
A) You receive the payment 3 years from now and the interest rate is 8 percent.
B) You receive the payment 3 years from now and the interest rate is 6 percent.
C) You receive the payment 2 years from now and the interest rate is 8 percent.
D) You receive the payment 2 years from now and the interest rate is 6 percent.
Correct Answer:
Verified
Correct Answer:
Verified
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