Which of the Following Statements Are Correct Concerning the Present

question 92

Multiple Choice

Which of the following statements are correct concerning the present value of $1.00 five years from today discounted at 5%?
I.The present value is equal to $1.00 divided by 1.05 to the 5th power.
II.If the discount rate were less than 5%, the present value would be smaller.
III.If the discount rate were more than 5%, the present value would be smaller.
IV.If the $1.00 were to be received 6 years from today, the present value would be larger.

• A)I and II only
• B)I and III only
• C)II and III only
• D)I, III and IV only

---

Definitions:

HR Managers

Professionals responsible for overseeing the human resources department, including recruiting, training, and ensuring the well-being of employees.

Legal Obligations

Duties imposed by law on individuals and organizations, including adherence to statutes, regulations, and court decisions.

Social Obligations

Responsibilities or duties that individuals or organizations have towards society, including ethical practices and contributions to community welfare.

Human Resource Management

The practice of recruiting, hiring, deploying, and managing an organization's employees.