Reference no: EM132910307

Problem 1: How much is a dollar worth today if you can expect to receive it a year from now from an Insurance bank with no risk of default?

Select one:

a. $1.00
b. Not enough information given to tell
c. Less than $1.00
d. More than $1.00

Problem 2: How much would you be willing to pay for an investment with an expected cashflow of RM500 per year for the next 10 years if the assumed discount rate was 12 percent?

Select one:

a. RM2825.11
b. RM2710.45
c. RM2635.14
d. RM2582.11

Problem 3: How much would you be willing to pay for an investment with an expected cash flow of RM500 per year for the next 10 years if the assumed discount rate was 12 percent?.

Select one:

a. RM8,774.36
b. RM2635.14
c. RM2710.45
d. RM2825.11