Which of the Following Changes Would Increase the Present Value

question 35

Multiple Choice

Which of the following changes would increase the present value of a future payment?

• A)an increase in the size of the payment
• B)an increase in the time until the payment is made
• C)an increase in the interest rate
• D)All of the above are correct.

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Definitions:

Defensive Self-esteem

A form of self-esteem characterized by a fragile sense of self that can easily be threatened and may lead to defensive or aggressive reactions.

Low Self-efficacy

The belief in one's inability to execute behaviors necessary to produce specific performance attainments.

Self-serving Bias

The common habit of a person taking credit for positive events or outcomes but blaming outside factors for negative events.

Defensive Self-esteem

A form of self-esteem characterized by fragility and sensitivity to perceived threats, often leading individuals to react defensively to criticism or challenges.