Which of the following is the most fundamental assumption, Ask an Expert

Economics

Which of the following is the most fundamental assumption in economics?

A. At the same 4% annual interest rate, the future value of $1,000 in 5 years is higher than the future value of $1,000 in 6 years.

B. Future value is the equivalent amount you receive today for an amount you are going to receive at some future period.

C. At 4% annual interest rate, the present value of $1,000 you expect to receive 5 years from now is $1,000.

D. Present value is the equivalent amount you receive today for an amount you are going to receive at some future period

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91422426

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