Which permits faster growth in a future value? I. Longer investment period. II. More frequent compounding. III. Simple rather than compound interest. IV. A higher present value. V. End of the period rather than the beginning of period savings. A I, Il and IV B I, II and V C II, IV and V D II, IV and V E I only

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 13MC: Which of the following discounts future cash flows to their present value at the expected rate of...
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Which permits faster growth in a future value?
1. Longer investment period.
II. More frequent compounding.
III. Simple rather than compound interest.
IV. A higher present value.
V. End of the period rather than the beginning of period savings.
A I, Il and IV
I, III and V
II, IV and V
III, IV and V
E
I only
Transcribed Image Text:Which permits faster growth in a future value? 1. Longer investment period. II. More frequent compounding. III. Simple rather than compound interest. IV. A higher present value. V. End of the period rather than the beginning of period savings. A I, Il and IV I, III and V II, IV and V III, IV and V E I only
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