The Present Discounted Value of $100 to Be Received in One

question 125

Multiple Choice

The present discounted value of $100 to be received in one year and with an interest rate of 10 percent is closest to

• A)$100
• B)$10
• C)$110
• D)$91
• E)$80

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Definitions:

Employee Benefits

Nonmonetary forms of compensation such as health benefits and retirement plans.

Monetary Forms

Various representations of money, including cash, checks, electronic transfers, and other means of financial transactions.

Profit-Sharing Plans

A company program where employees receive a portion of the firm's profits in addition to their regular income.

Cost Savings

The reduction in expenses achieved through efficiency improvements, better resource management, or other means.