If the Interest Rate Is 5 Percent,the Present Value of $200

question 130

Multiple Choice

If the interest rate is 5 percent,the present value of $200 received at the end of five years is:

• A) $121.34.
• B) $156.71.
• C) $176.41.
• D) $132.62.

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Definitions:

Acceptance

The act of agreeing that something is satisfactory or adequate, often referring to the acceptance of hypotheses or theories based on evidence.

Statistic Probability

The likelihood of an event occurring based on the analysis of a set of predefined numerical data.

Null Hypothesis

In statistical testing, it's the presumption that there is no effect or difference among groups or variables being studied.

Probability

A numerical value ranging from 0 to 1, representing the chance of an event's occurrence.