If the Present Value of $600 Expected to Be Received

question 53

Multiple Choice

If the present value of $600 expected to be received one year from today is $400, what is the one-year discount rate?

• A) 15%
• B) 20%
• C) 25%
• D) 50%

---

Definitions:

Business Communication

The exchange of information and ideas between individuals or groups within a commercial context, using various modes and channels to achieve specific organizational goals.

Communication Networks

Systems of interconnected devices or nodes that enable the exchange of data and information.

Encounter Groups

A form of group therapy where participants interact with each other in order to enhance emotional understanding and personal growth.

Present Behavior

The actions or conduct displayed by an individual at the current moment.