The Solution to This Problem Requires Time Value of Money

question 174

Multiple Choice

The solution to this problem requires time value of money calculations. Reference to Tables 9-1 through 9-4 in the text is necessary to complete the calculations. If the interest factor used to calculate the future value of $1 at 6% for 5 periods is 1.338, then the present value of $1 at 6% for 5 periods is

• A) 1/1.338 x 1.338.
• B) 0.338.
• C) 1.338 × 1.338.
• D) 1/1.338.

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Definitions:

Homo Erectus

An extinct species of hominid that lived throughout most of the Pleistocene geological epoch, known for being one of the first early humans to have human-like body proportions.

Genetic Ancestry

The lineage or descent traced through genes, often used to understand evolutionary relationships and individual ancestry.

Homo Habilis

A species of early human known for its use of simple stone tools, considered one of the earliest members of the genus Homo.

Gene Flow

The transfer of genetic variation from one population to another, which can influence the genetic composition of future generations.