Finc 330 Business Finance Quiz 95
95)
A project you are considering is expected to provide benefits worth $225,000 in one year. If the risk-
free rate of interest (
rf
) is 8%, then the value of the benefits of this project today are closest to:
A) $190,333.
B) $208,333.
C) $225,000.
D) $243,000.
Answer:
B