If the Number of Periods Is Known, the Interest Rate

question 37

Multiple Choice

If the number of periods is known, the interest rate is determined by

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

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Definitions:

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