You Are Scheduled to Receive $10,000 in One Year

question 83

Multiple Choice

You are scheduled to receive $10,000 in one year.An increase in the interest rate will have what effect on the present value of this cash flow?

• A)It will cause the present value to fall.
• B)It will cause the present value to rise.
• C)It will have no effect on the present value.
• D)The effect cannot be determined with the information provided.
• E)It will cause the present value to rise significantly.

---

Definitions:

Normal Accidents

A concept in the sociology of large technological systems that predicts that accidents are inevitable in complex systems due to their intricacies and the interdependence of their components.

High Tech

Industries or companies involved in developing and producing advanced technology products or services.

Big Tech

Large, dominant technology companies, often cited as having considerable market power and influence over the economy, society, and politics.

Diffusion of Technology

The process by which new technologies are adopted and spread across cultures or societies.