Top Posters
Since Sunday
5
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
Home Q & A Board Other Fields Homework Help Business Economics
New Topic  
Talisha Talisha
wrote...
Go to Answer
Posts: 248
Rep: 0 0
5 years ago
Bobby faces two choices. The first is to receive $600 on the spot. The other choice is to receive $800 a year from now. The interest rate is 5% per year. What could a possible explanation for Bobby choosing to receive $600 on the spot?
A) Bobby finds that the present value of the $800 a year from now is less than $600.
B) Bobby may have time-inconsistent preferences.
C) Although Bobby chooses $600 on the spot, he is actually indifferent between the two options.
D) None of the above is correct.
Textbook 
Microeconomics

Microeconomics


Edition: 8th
Author:
Read 71 times
1 Reply
Replies
Answer verified by a subject expert
Paigegalvan96Paigegalvan96
wrote...
#1
Posts: 184
Rep: 181 0
5 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

Talisha Author
wrote...

5 years ago
Brilliant ツ
djeghri
wrote...

Yesterday
this is exactly what I needed
joyceess
wrote...

2 hours ago
This helped my grade so much Perfect
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1321 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Related Images
  
 781
  
 138
  
 166
Your Opinion
Do you believe in global warming?
Votes: 370
Previous poll results: Which 'study break' activity do you find most distracting?