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Considering the Value of a Financial Instrument, the Sooner the Promised

Question 40

Multiple Choice

Considering the value of a financial instrument, the sooner the promised payment is made:


A) the less valuable is the promise to make it since time is valuable.
B) the greater the risk, therefore the promise has greater value.
C) the more valuable is the promise to make it.
D) the less relevant is the likelihood that the payment will be made.

Correct Answer:

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