1. Determine the present value if $15,000 is to be received at the end of eight years and the discount rate is 9 percent. How would your answer change if you had to wait six years to receive the $15,000?
2. Why might a country prefer portfolio investment over direct, or vice-versa?
3. Describe key components of the US financial markets system in the financing of business and explain the fundamentals of interest rate determination and the popular theories of the term structure of interest rates.