A perpetuity that pays $250 per year at an interest rate of 4% would have a market price equal to
A) $6,250.
B) $25,000.
C) $2,500.
D) $62,500.
A
Economics
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For the following questions, suppose an economy produces only pens and pencils, and that the quantity and price data is given by this table
pens pencils Year 1 quantity 15 10 Year 1 price $12 $12 Year 2 quantity 17 12 Year 2 price $14 $15 What is the real GDP in year 2 using base year 1? A) $418 B) $300. C) $360. D) $338.
Economics
A positive temporary supply side shock will:
A. increase the level of potential output in the long run. B. decrease the price level in the long run. C. increase the price level in the long run. D. have no effect in the long run.
Economics