Which of the Following Changes Would Increase the Present Value

question 154

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)an increase in the time until the payment is made
• C)a decrease in the interest rate
• D)All of the above are correct.

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Definitions:

Postural Hypotension

A condition where one's blood pressure significantly drops upon standing up from a lying or sitting position, often leading to dizziness or fainting.

Tricyclic Antidepressant

A class of medication used to treat depression by inhibiting the reuptake of norepinephrine and serotonin, thereby increasing their levels in the brain.

Major Depressive Disorder

A mood disorder presenting as persistent feelings of sadness and loss of interest, often accompanied by physical symptoms and causing significant impairment in daily life.

Psychomotor Retardation

A slowing down of thought and a reduction of physical movements in an individual, often observed in major depressive disorders.