The main two sources of the time value of money


1. The main two sources of the time value of money are:

a. Interest Rates and Risk,

b. Inflation and Interest Rates,

c. Risk and timing of Consumption.

d. Inflation and timing of Consumption,

2. Which of the following will decrease a present value?

A. Increasing the future value.

B. Decreasing the interest rate.

C. Decreasing the number of periods.

D. None of the above will decrease a present value.

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Financial Management: The main two sources of the time value of money
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