The Table Above Shows the Interest Rates Available from Investing

question 24

Multiple Choice

The table above shows the interest rates available from investing in risk-free U.S. Treasury securities with different investment terms. If an investment offers a risk-free cash flow of $100,000 in two years' time, what is the present value (PV) of that cash flow?

• A) $76,518
• B) $114,777
• C) $133,906
• D) $95,647

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Information or input that comes from outside an individual or system.

Status Hierarchies

The ranking or ordering of individuals or groups based on prestige, authority, or social standing within a society or organization.

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Characterized by sternness or severity, particularly in behavior, conditions, climate, sound, or texture.