Acceptances Are Considered Effective When Mailed, Regardless of the Method

question 5

True/False

Acceptances are considered effective when mailed, regardless of the method used to transmit the offer.

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Definitions:

Rate of Interest

The interest rate a borrower is charged for loaned money from a lender.

Present Value

The monetary value in present terms of a sum of money to be received later or a flow of cash, using a defined return rate.

Compounding

Compounding is the process in which an asset's earnings, from either capital gains or interest, are reinvested to generate additional earnings over time.