Question: 1 Compounding a present value into the future at a zero-interest rate will generate a future value that is equal to its present value. True

1

Compounding a present value into the future at a zero-interest rate will generate a future value that is equal to its present value.

True

False

2

If one switches to a higher interest rate in discounting a future value, the result will be a smaller present value.

True

False

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