1 The present value formula is: PV = FVn (17) What do we call (17) present value factor annuity factor future value factor A&B Aln) involves a series of identical cash flows that are expected to occur regularly each period for an infinite number of periods. perpetuity flexible-rate loan annuity net present value The future value factor is the of the present value factor. inverse multiply IRR negative The loan amortization schedule reveals that the amount of interest declines each period because the gradually becomes smaller. principal interest rate lender's risk none of these Aln) involves equal payments occurring at the beginning of each period for a finite number of periods. annuity due deferred annuity ordinary annuity none of these