To Compute the Future Value of a Cash Flow, You

question 99

Multiple Choice

To compute the future value of a cash flow, you must ________.

• A) discount it
• B) compound it
• C) double it
• D) arbitrage it

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Definitions:

Voidable

A term used for contracts or agreements that are valid until they are canceled or nullified by one party due to certain reasons.

Ordinary, Reasonable Person

refers to a hypothetical individual in law whose behavior would be considered typical or normal in any given circumstances, used as a standard of comparison.

Duress

A situation where a person performs an act as a result of violence, threat, or other pressure against the person.

Embezzlement

The dishonest act of taking funds or property for oneself that has been entrusted to care for, but is actually owned by another individual.