Tutorial

TUTORIAL CHAPTER 5 1.The amount an investment will price subsequently one or more periods of sequence is the _____ value. a. coming(prenominal) b.present c.principal d.discounted e.simple 2.The process of accumulating engross on an investment over age to earn more pastime group is called: a.growth. b.compounding. c.aggregation. d.accumulation. e.discounting. 3.Interest make on the reinvestment of previous hobby payments is called _____ interest. a.free b.annual c.simple d.interest on e.compound 4.Interest take in on twain the initial principal and the interest reinvested from prior periods is called _____ interest. a.free b.annual c.simple d.interest on e.compound 5.Interest earned only on the original principal amount invested is called _____ interest. a.free b.annual c.simple d.interest on e.compound 6.The incoming value interest part is calculated as: a.(1 + r)t. b.(1 + rt). c.(1 + r) t. d.1 + r t. e.(1+r) x rt. 7.The ongoing value of future change flows discounted at the appropriate discount localize to current time is called the _____ value. a.principal b.future c.present d.simple e.compound 8.

The process of finding the present value of around future amount is often called: a.growth. b.discounting. c.accumulation. d.compounding. e.reduction. 9.The present value interest factor is calculated as: a.1 (1 + r t). b.1 (1 + rt). c.1 (1 + r) (t). d.1 (1 + r)t. e.1 + r + t. 10.The interest lay out used to calculate the present value of future cash flows is called the _____ rate. a.free b.a nnual c.compound d.simple e.discount 1! 1.As the discount rate increases, the present value of $ cholecalciferol to be veritable six years from now: a. ashes constant. b....If you want to get a full essay, order it on our website: BestEssayCheap.com

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