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BE/-5 (similar to) Question Hele You have been offered an opportunity to receive $1.000 at the end of one year. You can earn


BE1-5 (similar ) You have been offered an opportunity to receive $1,000 at the end of one year. You can earn a 2% rate of ret
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Answer #1

Discounting interest rate =2℅, Period= 1year

Present value of Investment= money offered X Present value discounting factor @ 2℅ for 1 year

=$1000 X 0.98039 =$980.39 Answer

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