At Which Interest Rate Is the Present Value of $260

question 145

Multiple Choice

At which interest rate is the present value of $260.10 two years from today equal to $250 today?

• A)2 percent
• B)3 percent
• C)4 percent
• D)5 percent

---

Definitions:

Milgram's Experiment

A series of social psychology experiments conducted by Stanley Milgram, demonstrating individuals' obedience to authority figures, leading to actions that could harm others.

Informed Consent

The process of ensuring that a participant in research has a comprehensive understanding of what the study involves and voluntarily agrees to participate.

Research Ethics

The set of ethical principles governing the conduct of research to ensure the integrity of the research process and the protection of participants.

Group Mind

The theory that suggests individuals when in groups have psychological processes that are distinct from those they would have if they were alone.