The Present Value (PV)of the £5 Million Cash Inflow Computed

question 9

Multiple Choice

The present value (PV) of the £5 million cash inflow computed by first converting into dollars and then discounting is closest to:

• A)$8 943 695
• B)$8 954 615
• C)$8 950 495
• D)$8 961 420

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Definitions:

T Score

A standardized score with a mean of 50 and a standard deviation of 10, often used in psychological and educational testing to compare an individual's test performance with a norm group.

Test-Retest Reliability

Giving the test twice to the same group of people and then correlating the scores of the first test with those of the second test to determine the reliability of the instrument.

Sten

A standard ten scale used for scoring and interpreting psychological and other types of tests, where scores are often transformed to fit a scale ranging from 1 to 10.

DIQ

An abbreviation often used for Differential Intelligence Quotient, though not commonly recognized in standard intelligence testing terminology.