Question: Which of the following will decrease the present value of a lump sum (for example the PV of $500 to be received N years from
Which of the following will decrease the present value of a lump sum (for example, the PV of $500 to be received N years from today). Check all of the answer choices that are correct. This is an all or nothing question. Thus, if a and b are both correct and you do not put both of these or you include c ne of the other choices, you will recelve 0 points. A decrease in the lump sum amount (for example, from $700 to $500 ): An decrease in the number of compounding periods per vear (for example. the compounding changes from four times per year to one time per year). A decrease in the interest rate An increase in the lump sum amount (for example, from $500 to $700 ). A decrease in N An increase in the number of compounding periods per year (for example, the compounding changes from one time per year to 12 times per year). An increase in N An increase in the interest rate
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