A factor that relates a single cash flow in one period to another single cash flow in a later period is
A)the uniform series compound amount factor.
B)the capital recovery factor.
C)the sinking fund factor.
D)the annuity conversion factor.
E)the compound amount factor.

Question

Quizplus · Accepted Answer

The compound amount factor relates a single cash flow in one period to another single cash flow in a later period by applying compound interest over the time period. This factor is used to calculate the future value of a present amount.

A Factor That Relates a Single Cash Flow in One