The Present Value of $200 to Be Received 10 Years

question 118

Multiple Choice

The present value of $200 to be received 10 years from today, assuming an opportunity cost of 10 percent, is ________.

• A) $ 50
• B) $200
• C) $518
• D) $ 77

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Definitions:

Resistance

The act of opposing or struggling against something that is perceived as a challenge or a threat.

Foot-In-The-Door

A persuasion technique where a small initial request is made in order to gain compliance with a larger request later.

Door-In-The-Face

A persuasion technique where a large, unreasonable request is made first, followed by a smaller, more reasonable request.

Lowballing

A sales and negotiation tactic where an initial, lower price is offered to entice a buyer, before it is subsequently raised once the buyer is interested or committed.