The Cost of One Set of Four Pirelli P400 Supertouring $\$ 10.87$

question 197

Multiple Choice

The cost of one set of four Pirelli P400 Supertouring tires, each 195/65HR15 in size, is $\$ 10.87$ . What is the price for each tire?

• A) $48
• B) $67
• C) $77
• D) $86
• E) $57

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Definitions:

Cost of Capital

The rate of return that a company must earn on its investment projects to maintain its market value and attract funds.

Present Value

The current value of a future sum of money or stream of cash flows given a specified rate of return.

Cash Flows

The movement of money into and out of a business, project, or investment, critical for assessing financial health.

GDP

Gross Domestic Product, the total value of all goods and services produced within a country's borders in a specific time period.