Question: $1,000 is expected to be received 10 years from now. The present value of this $1,000 future cash flow is: 1: Always greater than $1,000.

$1,000 is expected to be received 10 years from now. The present value of this $1,000 future cash flow is:
1: Always greater than $1,000.
2: Greater if the interest rate goes up.
3: Less than $1,000 if interest rates are positive.
4: Lower if the discount rate goes down.

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