Answered: The present value of $121,000 expected…

The present value of $121,000 expected one year from today at an interest rate (discount rate) of 10 percent per year is A.100,000 B.110,000 C.121,000 D.108,900

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 5P

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Question

The present value of $121,000 expected one year from today at an interest rate (discount rate) of 10 percent per year is

A.100,000

B.110,000

C.121,000

D.108,900

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