The Present Value of $100,000 Two Years in the Future

question 130

Multiple Choice

The present value of $100,000 two years in the future at a 7 percent interest rate is approximately

• A)$114,000.
• B)$97,087.
• C)$8,700.
• D)$87,344.

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Definitions:

Hispanics

A demographic group in the United States and other countries, often characterized by a heritage, language, or culture related to Spain or Spanish-speaking Latin American countries.

Foreign-Born Noncitizens

Foreign-born noncitizens are individuals born outside of a given country who have not acquired citizenship by naturalization within that country.

Income Inequality

The uneven distribution of income within a population, where some individuals earn significantly more than others.

Social Security Act

A law enacted in 1935 in the United States to provide for the general welfare by establishing a system of federal old-age benefits, and by enabling the states to make more adequate provision for aged persons, blind persons, dependent and crippled children, maternal and child welfare, public health, and the administration of their unemployment compensation laws.