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Kobotan [32]
3 years ago
6

If the risk-free rate of interest (rf) is 6%, then you should be indifferent between receiving $250 today or:

Business
1 answer:
kodGreya [7K]3 years ago
8 0

Answer:

the indifference between receiving $250 today or is $235.85

Explanation:

The computation of the indifference between receiving $250 today or is shown below:

Here we determine the present value

= Amount ÷ (1 + risk free rate of interest)

= $250 ÷ (1 + 0.06)

= $250 ÷ 1.06

= $235.85

Hence, the indifference between receiving $250 today or is $235.85

The same is relevant and considered too

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Answer:

c,d and e

Explanation:

The correct statements given in the options are as stated below:

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(e)-Revenue for the sale will be recorded after the goods reach their destination, if the goods are shipped FOB destination.

<em>This is true because Free on Board destination means that the seller bears all liability whatsoever till the goods are delivered, hence the revenue for the goods can only be recognized upon successful delivery</em>

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3 years ago
Assume that initially a country has a loanable funds supply curve of S1. Now, imagine that interest rates across the country inc
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Answer:

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If you stare at a red patch and then look at a red apple, will your experience of the redness of the apple be stronger or weaker
Mashutka [201]
<span>If you stare at a red patch and then look at a red apple, your experience of the redness of the apple will be  weaker. 
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Answer:

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