Given the Formula PDV = $F/(1 + R)^T,the PDV Is

question 38

Multiple Choice

Given the formula PDV = $F/(1 + R) ^T,the PDV is smaller when the number of years is ______ and when the interest rate is ______.

• A) Smaller, lower
• B) Smaller, higher
• C) Larger, lower
• D) Larger, higher

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Definitions:

Styloid Process

A slender, pointed piece of bone just below the ear, attached to ligaments and muscles associated with the tongue and hyoid bone.

Olecranon Fossa

A deep notch on the posterior side of the humerus bone, into which the olecranon process of the ulna fits when the arm is extended.

Lateral Epicondyle

A bony prominence on the outer side of the elbow, to which forearm muscles are attached.

Deltoid Tuberosity

A roughened area on the middle of the outer surface of the humerus, where the deltoid muscle attaches.