A Single Amount Is Invested and Increases Over Time as Interest

question 96

Multiple Choice

A single amount is invested and increases over time as interest is compounded. If the number of periods is known, the interest rate can be approximately determined by ________.

• A) dividing the present value by the future value and looking for the quotient in the future value of $1 table
• B) multiplying the present value by the future value and looking for the product in the present value of $1 table
• C) dividing the future value by the present value and looking for the quotient in the future value of $1 table
• D) dividing the future value by the present value and looking for the quotient in the present value of $1 table

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