Multiple Choice
Which of the following conclusions would be true if you earn a higher rate of return on your investments?
A) The greater the present value would be for any lump sum you would receive in the future.
B) The lower the present value would be for any lump sum you would receive in the future.
C) Your rate of return would not have any effect on the present value of any sum to be received in the future.
D) The greater the present value would be for any annuity you would receive in the future.
Correct Answer:

Verified
Correct Answer:
Verified
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