Samantha Has Holdings of 250 Troy Ounces of Platinum, Currently

question 109

Multiple Choice

Samantha has holdings of 250 troy ounces of platinum, currently valued at $820 dollars per ounce. She estimates that the price of platinum will rise to $869.20 per ounce in the next year. If the interest rate is 12%, should she sell the platinum today?

• A) Yes, as the difference between the present value of selling now and selling in one year is $12,300 dollars today.
• B) Yes, as the difference between the present value of selling now and selling in one year is $10,982 dollars today.
• C) Yes, as the difference between the present value of selling now and selling in one year is $9840 dollars today.
• D) No, as the difference between the present value of selling now and selling in one year is -$8786 dollars today.

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Definitions:

Muscle Tissue

A soft tissue in animals that generates force and allows for movement, comprising skeletal, cardiac, and smooth muscle types.

Voluntary Contraction

The intentional activation of muscle fibers through the nervous system, enabling movement and physical actions.

Involuntary Contraction

Muscle movements that occur without conscious control, such as those in the heart or digestive system.

Nuclei Per Cell

A measure indicating the number of nuclei found within a single cell, significant for differentiating between unicellular and multicellular organisms or special cellular states.