Suppose a 10-mile taxi ride costs £6.50 in London and $10.00 in Los Angeles. If the exchange rate is £1 = $1.70 purchasing power parity holds

If a corporate bond with face value of $1,000 has an interest rate of eight percent paid once a year for a term of 30 years, what is the size of the annual coupon payment?

A) $1,000 B) $300 C) $80 D) $8

The concept of ________ is based on the common-sense notion that a dollar paid to you in the future is less valuable to you than a dollar today

A) present value B) future value C) interest D) deflation