At any positive rate of interest,a future value will be greater than a present value.

Name: At any positive rate of interest,a future value will be greater than a present value.
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Question

Quizplus · Accepted Answer

This is a basic principle of finance known as the time value of money. As time goes on, the present value of money decreases due to inflation and the opportunity cost of not investing it. Therefore, any positive rate of interest will result in a future value that is higher than the present value.

At Any Positive Rate of Interest,a Future Value Will Be