If the Annual Interest Rate Is 9%,what Would You Expect

question 62

Multiple Choice

If the annual interest rate is 9%,what would you expect to pay for a discount bond paying $10,000 in two years?

• A) $8,417
• B) $8,200
• C) $10,000
• D) $11,881

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Definitions:

Perception

The process of organizing and interpreting sensory information to give it meaning.

Decision

The act of making a choice among available alternatives.

Experiential System

A processing mechanism in the brain that is intuitive, automatic, and based on experiences, as opposed to analytical reasoning.

Cognitive System

encompasses the mental processes involved in perception, memory, judgment, and reasoning.