Given a Rate of Return of Zero,the Future Value of a Lump

question 13

Multiple Choice

Given a rate of return of zero,the future value of a lump sum invested today will always:

• A)remain constant,regardless of the period of time
• B)decrease as the period of time decreases
• C)decrease as the period of time increases
• D)increase as the period of time increases
• E)remain constant or increase as the period of time increases

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Definitions:

Triplet

In chemistry, a term often used to describe a state of a molecule or an atom in which its electrons have a specific spin configuration leading to three closely related energy levels or quantum states.

Cyclohexanone

An organic compound with the formula (CH2)5CO, characterized by a six-carbon ring with a ketone functional group.

Benzophenone

An organic compound with the formula (C6H5)2CO, commonly used in organic chemistry as a photoinitiator.

Diethyl Ether

An organic compound commonly used as a solvent, characterized by an oxygen atom connecting two ethyl groups.