Which Has a Greater Present Value,a Future Value of $300,000

question 45

Multiple Choice

Which has a greater present value,a future value of $300,000 received in year 6,or an end-of-the-year annuity (first cash flow exactly one year from today) of $75,000 that lasts for four years if the relevant interest rate is 0%?

• A)The future value of $300,000 is preferred.
• B)The annuity has a greater present value.
• C)You are indifferent to these two sets of cash flows on a present value basis.
• D)You can't properly answer this question because the interest rate is 0%.

Apprehend the situations where printed messages are preferred over digital ones.

Acknowledge the significance of crowd-sourced knowledge and the appropriate platforms for its aggregation.

Understand the ethical considerations in using digital media for marketing and engagement.

Select the appropriate digital media tool for specific communication tasks.

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Definitions:

Corrective Action

A measure taken to rectify a detected problem or prevent it from occurring.

Alternative Solutions

Refers to different methods or strategies that can be used to achieve a goal or solve a problem.

Entrepreneurship

The ability to achieve results, based on demonstrating good work habits, believing in oneself, and having the courage to take risks; an important element of leadership performance.

Leadership Performance

The effectiveness and efficiency with which a leader directs and motivates individuals to achieve organizational goals.