Question: For a given future value and discount rate, the present value will Blank _ _ _ _ _ _ as the number of time periods

For a given future value and discount rate, the present value will Blank______ as the number of time periods Blank______.
Multiple choice question.
decrease; increase
remain constant; increase
decrease; decrease
increase; increase

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

Multiple Choice Question For a given future value and discount rate, the present value will as the number of time periods decrease; decrease increase; increase remain constant; increase decrease;...

Q:

1. The real rate of interest reflects compensation for? Time value of money Future value Present value None of the options are correct 2. An annuity may be defined as a series of unlimited payments...

Q:

Trew Company plans to issue bonds with a face value of $906,500 and a coupon rate of 6 percent. The bonds will mature in 10 years and pay interest semiannually every June 30 and December 31. All of...

Q:

TABLE 4 Present Value of an Ordinary Annuity of $1 1- (1 + 01 PVA = ni 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0% 5.5% 6.0% 7.0% 8.0% 1 2 3 4 0.99010 1.97040 2.94099 3.90197 4.85343 0.98522 0.98039...

Q:

Trew Company plans to issue bonds with a face value of $906,500 and a coupon rate of 6 percent. The bonds will mature in 10 years and pay interest semiannually every June 30 and December 31. All of...

Q:

Williams Company plans to issue bonds with a face value of $607,500 and a coupon rate of 8 percent. The bonds will mature in 10 years and pay interest semiannually every June 30 and December 31. All...

Q:

Trew Company plans to issue bonds with a face value of $906,500 and a coupon rate of 6 percent. The bonds will mature in 10 years and pay interest semiannually every June 30 and December 31. All of...

Q:

Trew Company plans to issue bonds with a face value of $906,500 and a coupon rate of 6 percent. The bonds will mature in 10 years and pay interest semiannually every June 30 and December 31. All of...

Q:

Future Value Factor for a Single Present Amount (Interest rate = r, Number of periods = n) nir 1 10 11 12 13 1% 1.0100 1.0201 1.0303 1.0406 1.0510 1.0615 1.0721 1.0829 1.0937 1.1046 1.1157 1.1268...

Q:

Future Value Factor for a Single Present Amount (Interest rate = r, Number of periods = n) nir 1 10 11 12 13 1% 1.0100 1.0201 1.0303 1.0406 1.0510 1.0615 1.0721 1.0829 1.0937 1.1046 1.1157 1.1268...

Q:

Question 4 The equations for Lines A, B and C are given below. Line A: 15x-6y + 36 = 0 Line B: 10x + 25y = -550 Line C: Please determine equation from the graph on the right. What is the relationship...

Q:

An x-ray beam of wavelength A undergoes first-order reflection from a crystal when its angle of incidence to a crystal face ts 23o, and an x-ray beam of wavelength 97 pm undergoes third-order...

Q:

One of your clients wishes to enter into a forward contract to purchase 1 0 , 0 0 0 shares of Acme Inc. in five months. The stock is currently trading for $ 1 5 0 on the New York Stock Exchange. Its...

Q:

A company issues 1,050 shares of its common stock for $33,600 cash. Prepare journal entries to record this event under each of the following separate situations.