Question: A. Mark as True or False: The future value of a present sum increases as the interest rate per year increases, other things held constant.

A. Mark as True or False: The future value of a

A. Mark as True or False: The future value of a present sum increases as the interest rate per year increases, other things held constant. B. Mark as True or False: The \% value of a future sum increases as the number of periods per year increases, other things being constant. C. Mark as True or False: As a result of compounding, the effective annual rate on a loan (or a bank deposit) is always equal to or greater than the APR on the loan. D. Mark as True or False: Nick, a football player, has a two-year 0% interest rate car loan for $1,000. Suppose that Nick has 2 options: a) pay $0 at year 1&$1,000 at year two or b) pay $500 at year one and $500 at year two. Nick would be better off when he chooses options b E. Mark as True or False: Given the discount rate of 10%, the % value of a 10 -year annuity that pays $1,000 per year is greater than $6,000

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