With a Nominal Interest Rate of 10%,the Present Discounted Value

question 39

Multiple Choice

With a nominal interest rate of 10%,the present discounted value of $200 to be received in one year is

• A)$90.91.
• B)$165.29.
• C)$181.82.
• D)$190.00.
• E) $220.00.

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Definitions:

Mexico

A country located in the southern portion of North America, known for its rich cultural heritage, diverse landscapes, and economic significance.

Offshore Outsourcing

The practice in which businesses hire people in another country to perform various tasks.

Globalization

The phenomenon of growing economic linkages among countries.

Comparative Advantage

The ability of an individual or economy to produce goods or services at a lower opportunity cost than competitors, leading to specialized production and trade.