Other factors constant, the future value will be smaller,
A) the larger is its present value.
B) the higher is the interest rate.
C) the shorter is the time period t.
D) the larger is the number of periods.

Question

Quizplus · Accepted Answer

The future value of an investment is directly related to the time period; the shorter the time period, the smaller the future value, assuming other factors remain constant.

Other Factors Constant, the Future Value Will Be Smaller