Question: 1(a). (TRUE or FALSE?) If interest rate decreases, present value increases. 1(b). (TRUE or FALSE?) With an amortized loan, the amount of interest increases each

1(a). (TRUE or FALSE?) If interest rate decreases, present value increases. 1(b). (TRUE or FALSE?) With an amortized loan, the amount of interest increases each year, and the amount contributed to principal decreases each year. 1(c). (TRUE or FALSE?) The time value of money means that money you hold in your hand today is worth more than the same amount of money you expect to receive in the future.

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