You Just Inherited a Trust That Will Pay You $100,000

question 53

Multiple Choice

You just inherited a trust that will pay you $100,000 per year in perpetuity.However,the first payment will not occur for exactly four more years.Assuming an 8% annual interest rate,what is the value of this trust?

• A)$918,787
• B)$992,290
• C)$1,000,000
• D)$1,250,000

Understand the conditions that are not required for performance improvement.

Recognize the factors that contribute to quality in setting performance objectives.

Identify best practices before conducting performance reviews.

Understand the characteristics of one-minute praising and reprimands according to Ken Blanchard and Spencer Johnson.

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Definitions:

Population Growth

The increase in the number of individuals in a population, often measured as the change in the total number of residents over a specific time period.

Incentives

Factors, monetary or non-monetary, that motivate individuals or entities to perform certain actions or behave in a desired way.

Coercion

The practice of forcing another party to act in an involuntary manner by use of threats, intimidation, or some other form of pressure or force.

Real GDP

Gross Domestic Product adjusted for inflation, measuring the value of goods and services produced by an economy in a given year in constant prices.