If the risk-free rate of interest (r.) is 10%, then you should be indifferent between receiving $100 in one year or O A. $100.00 today. O B. $90.91 today. C: $109.09 today. O D. none of the above

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A: Option 1: Receives $1000 at 10% today But if we invest the $1000 received today for 5 years

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A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: what is the value of $100

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A: To calculate future value, we can use the future value formula:FV = PV * (1 + r) ^ nwhere:FV is the…

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A: P = A/ (1+rt) Where, A = Future value P = Present value r =rate of interest  t = time

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A:

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