Which Expression Is Used to Calculate the Present Value of an Amount

question 54

Multiple Choice

Which expression is used to calculate the present value of an amount of money?

• A) Future Value × (1 + interest rate)time
• B) Future Value/(1 + interest rate)time
• C) Future Value × (1 + time)interest rate
• D) (1 + interest rate)time/Future Value

---

Definitions:

Attentiveness

The quality of paying close attention to something or someone, being alert and focused.

Summarization

The act of condensing information into a compact, comprehensive format, highlighting key points and main ideas.

Highlighting

Emphasizing or making certain aspects or details more noticeable or important.

Incongruent Responses

Responses or reactions that do not match the situation or the emotional state expected, often indicating underlying issues.