Which of the Following Statements Is True

question 15

Multiple Choice

Which of the following statements is true?

• A) The longer the time period that funds are invested, the greater the future value.
• B) The lower the discount rate that funds are invested at, the greater the future value.
• C) The shorter the time period that funds are invested, the greater the future value.
• D) The higher the interest rate, the slower the value of an investment will grow.

---

Definitions:

Reference Column

A column in ledgers or journals used to cross-reference or track specific transactions.

General Journal

A comprehensive accounting ledger that records all financial transactions of a company in chronological order before they are transferred to specific accounts.

General Ledger

A collection of a company's financial accounts, where transactions are recorded in separate accounts to maintain a comprehensive financial record.

Explanation Column

A column in accounting ledgers or financial reports where details are provided to explain the nature or reason for a transaction.