Consider the Following Timeline Detailing a Stream of Cash Flows

question 50

Multiple Choice

Consider the following timeline detailing a stream of cash flows: If the current market rate of interest is 8%, then the future value of this stream of cash flows is closest to:

• A) $11,699
• B) $10,832
• C) $12,635
• D) $10,339

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Definitions:

Nonreinforced Responses

Reactions or actions that are not followed by reinforcement, thus not likely to be strengthened or learned.

Variable Interval Schedule

A reinforcement schedule in which a response is rewarded after an unpredictable amount of time has passed.

Avoidance Learning

A form of learning in which an individual learns a behavior to avoid an unpleasant or fearful stimulus.

Escape Learning

A form of learning in which the subject acquires a response that results in the termination of an aversive stimulus.