When money or cash flow moves forward in time,the money or cash flows could be compounded
A) monthly .
B) semiannually.
C) quarterly.
D) all the above.

Question

Quizplus · Accepted Answer

Compounding refers to adding interest on the initial principal amount as well as on the accumulated interest over time. The frequency at which the interest is compounded affects the final amount. Money or cash flow moving forward in time can be compounded monthly, semiannually or quarterly, hence all the choices are correct.

When Money or Cash Flow Moves Forward in Time,the Money