If the Real U

question 53

Multiple Choice

If the real U.S.GDP was $10 trillion in 2000 and the U.S.population was 280 million,the per capita real GDP would have been closest to

• A)$2,800 per person.
• B)$28,000 per person.
• C)$35,714 per person.

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Definitions:

Net Present Value

A financial metric that calculates the present value of all cash inflows and outflows of a project or investment, using a specific discount rate.

Internal Rate

Commonly signifies the internal rate of return (IRR), identified as the discount rate that sets the net present value (NPV) of all cash flows pertaining to a specific project at zero.

Financial Analysis

The evaluation of a company's financial statements to determine its performance and make future predictions, often involving ratio and trend analysis.

Return

The gain or loss generated on an investment over a particular period, expressed as a percentage of the investment’s initial cost.