Swanson Company Will Receive $100,000 in a Future Year

question 35

Multiple Choice

Swanson Company will receive $100,000 in a future year.If the future receipt is discounted at an interest rate of 8%, its present value is $63,017.In how many years is the $100,000 received?

• A)5 years
• B)6 years
• C)7 years
• D)8 years

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A psychological theory that describes how people choose between probabilistic alternatives that involve risk.

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The pre-selected choice among a set of options that will be used if no alternative is specified by the decision-maker.