10) Which of the following statements is FALSE? A) Finding the present value and compounding are...

 

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10) Which of the following statements is FALSE? A) Finding the present value and compounding are the same. B) A dollar today and a dollar in one year are not equivalent. C) If you want to compare or combine cash flows that occur at different points in time, you first need to convert the cash flows into the same units or move them to the same point in time. D) The equivalent value of two cash flows at two different points in time is sometimes referred to as the time value of money. 4.3 Valuing a Stream of Cash Flows 11) Which of the following statements is FALSE? PV A) FV-- (1 + r)" N B) PV - Σ Cn n=0 (1+r)" N C) FV-EC (1 + r)n n=0 D) Most investment opportunities have multiple cash flows that occur at different points in time. 10) Which of the following statements is FALSE? A) Finding the present value and compounding are the same. B) A dollar today and a dollar in one year are not equivalent. C) If you want to compare or combine cash flows that occur at different points in time, you first need to convert the cash flows into the same units or move them to the same point in time. D) The equivalent value of two cash flows at two different points in time is sometimes referred to as the time value of money. 4.3 Valuing a Stream of Cash Flows 11) Which of the following statements is FALSE? PV A) FV-- (1 + r)" N B) PV - Σ Cn n=0 (1+r)" N C) FV-EC (1 + r)n n=0 D) Most investment opportunities have multiple cash flows that occur at different points in time.

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Q10 Option A Finding the present value and compounding are the same Explanation Find... View the full answer