You Have Received a Settlement Offer from a Restaurant for Your

question 25

Multiple Choice

You have received a settlement offer from a restaurant for your medical expenses due to food poisoning.The restaurant will pay you $110,000 in one lump sum two years from now.You can earn 10% on your investments.The present value of $1 for 2 periods at 10% is 0.826.The present value of an ordinary annuity of $1 for 2 periods at 10% is 1.736.The present value of the settlement offer is closest to:

• A)$220,000.
• B)$110,000.
• C)$190,960.
• D)$90,860.

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Definitions:

Policy Implications

The potential effects or outcomes that specific policies may have on a society, economy, or environment.

Social Consequences

The effects that actions or policies have on society, including changes in social norms, behaviors, and relationships within communities.

Related Ideologies

A group of beliefs or philosophies that are connected or share a common theme or purpose.

Racial Projects

Processes and mechanisms through which racial meanings are attached to particular social practices, groups, or phenomena, thereby structuring racial categorizations and hierarchies.