41. Incorrect. The
answer is true, not false. The present
value of the value of wine is At = Ve-rt = Kexp(t0.5 - rt). To determine the optimal time for selling
the wine optimize the present value function:
At' = (0.5t-0.5-r)K exp(t0.5 - rt)
= (0.5t-0.5-r)* A(t)=
0. Since A(t)¹0, (0.5t-0.5-r)=
0 and t* = (4r2)-1.
Check that A"(t) < 0 for a maximum.