You Have Just Won the University Lottery

question 58

True/False

You have just won the university lottery.If you graduate,you will receive a refund equal to the amount of tuition you paid in your first four years of school.However,you need money now and a firm that specializes in buying expected future cash flows has offered to discount the lottery winnings at a rate of 8% and pay you cash today in exchange for your future lottery winnings.Since you have studied finance,you insist that they discount the cash flows at 12% instead of 8% because there is some risk as to the certainty of your graduating.If the firm agrees to your demand,then this means they will increase the present value of what they will pay you today.

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Definitions:

mRNA Codons

Triplet sequences of nucleotides in messenger RNA that specify which amino acid will be added next during protein synthesis.

Leucine

Leucine is an essential amino acid necessary for protein synthesis and various metabolic functions in the body, not synthesized by the organism and must be obtained from the diet.

Template DNA

Strands of DNA that serve as guides for synthesizing complementary DNA or RNA molecules during genetic replication and transcription.

Parallel

Occurring or existing at the same time or in a similar manner, often in comparison to something else.