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During John's interview for a job as a construction worker, he was asked if he had any previous convictions. Not wanting to lie, John admitted that 20 years earlier when he was 19, he was convicted of assault and given a suspended sentence. Owing to his disclosure, John was not hired. In light of these facts, which of the following statements is TRUE?
Interest Rate
The percentage of a sum of money charged for its use, often expressed annually.
Period of Time
A Period of Time is a specific duration measured in terms of days, weeks, months, or years, during which certain activities or events occur or are intended to occur.
Discount Factors
A multiplicative factor used to discount future cash flows back to their present value.
Present Value
The present-day assessment of a future sum of money or cash flow series, after considering a specified rate of return.
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