Which of the Following Changes Would Increase the Present Value

question 82

Multiple Choice

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

• A)a decrease in the size of the payment
• B)a decrease in the certainty of the payment actually being received
• C)an increase in the amount of time that elapses before receiving the payment
• D)a decrease in the interest rate
• E)none of the above

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Definitions:

Sociology

The study of the development, structure, and functioning of human society, including patterns of social relationships, social interaction, and culture.

Slavery

A system in which individuals are owned by others, deprived of personal freedom, and forced to work without compensation.

Canadians

Citizens of Canada, a country in North America, known for its multicultural society and bilingual official languages of English and French.

Segregation

The enforced separation of different racial or social groups within a community or society.