Which of the Following Statements Is True

question 175

Multiple Choice

Which of the following statements is true?

• A)As interest rates increase, present values increase.
• B)Pure economic rent is a payment to a monopolist for the monopolist's product.
• C)Ricardo argued that land rent is price determined, not price determining.
• D)The present value of $10,000 in one year, at a 6 percent interest rate, is $9,200.

---

Definitions:

Current Liabilities

Obligations that a company needs to pay off within one year or within the business's normal operating cycle.

Current Position Analysis

Current position analysis is a review of the operations, resources, and financial health to evaluate a company's current state.

Return

The income produced by an investment, typically expressed as a percentage of the investment’s cost.

Total Assets

The sum of all assets owned by a company, including cash, investments, equipment, and real estate.