With an interest rate of 8 percent, the present value of $100 received two years from now is approximately a. $85.73. b. $108. ☐ c. $100. O d. $92.59.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 7P
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With an interest rate of 8 percent, the present value of $100 received two years from now is approximately
a. $85.73.
b. $108.
c. $100.
O d. $92.59.
Transcribed Image Text:With an interest rate of 8 percent, the present value of $100 received two years from now is approximately a. $85.73. b. $108. c. $100. O d. $92.59.
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