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    Exam 10: Choices Involving Time
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    Given the Formula PDV = $F/(1 + R)<sup>T</sup>,the PDV Is
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Given the Formula PDV = $F/(1 + R)T,the PDV Is

Question 38

Question 38

Multiple Choice

Given the formula PDV = $F/(1 + R) T,the PDV is smaller when the number of years is ______ and when the interest rate is ______.


A) Smaller, lower
B) Smaller, higher
C) Larger, lower
D) Larger, higher

Correct Answer:

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