Part I: Multiple Choice Questions (1 mark each) 1. The future value of a present amount: Decreases as the interest rates increases. b. Increases as the interest rate increases. c. Increases as the time period decreases. d. None of the above. a. 2. Calculate the shareholder's equity given the following information fixed assets $940, total liabilities $750, current liabilities $325, long-term liabilities 4258, an a net working capital of $270 $585 b. $190 c. $1210 d. $785 a. a. 3. A company's net income increases if: The government increases the corporate tax. b. The revenue falls as a result of lower demand as substitute products appear. EBIT is reduced through higher depreciation. d. Interest expenses are lowered. C