What Is the Present Value of a Payment of $100

question 321

Multiple Choice

What is the present value of a payment of $100 to be made one year from today?

• A)$100*(1 + r)
• B)$100/(1 + r)
• C)$100 - $100r
• D)$100 - (1 + r)/$100

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Definitions:

Reddish Color

A color hue that resembles the tint of blood or the primary color red mixed with slight amounts of white or yellow.

Silica

Silicon dioxide (SiO2), appearing either as a relatively pure form in a mineral (e.g., quartz) or as a component in more chemically complex minerals and rocks.

Cube-Shaped Crystals

Solids with an atomic structure that forms into a cube shape, commonly observed in minerals such as pyrite and halite.

Sulfide

A chemical compound that consists of sulfur and one or more elements, commonly found in ore minerals and as byproducts of industrial processes.