If the Current Rate of Interest Is 8%,then the Present

question 59

Multiple Choice

If the current rate of interest is 8%,then the present value (PV) of an investment that pays $1000 per year and lasts 20 years is closest to:

• A)$18,519
• B)$45,761
• C)$9818
• D)$20,000
• E)$10,016

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Definitions:

Information Overload

The difficulty in understanding an issue and making decisions due to the presence of too much information.

Individual Differences

Variations among individuals in terms of their behaviors, motives, perceptions, and cognitive abilities.

Controlled Processing

A type of mental processing that is deliberate, requiring effort and conscious attention.

Information Attention

The focus or concentration given to data or inputs from the environment.