Use the following information to answer the question(s) below.
Your great aunt Matilda put some money in an account for you on the day you were born. This account pays 8% interest per year. On your 21st birthday the account balance was $5,033.83.
-Which of the following statements is FALSE?
A) The process of moving a value or cash flow backward in time is known as discounting.
B) FV =
C) The process of moving a value or cash flow forward in time is known as compounding.
D) The value of a cash flow that is moved forward in time is known as its future value.

Question

Use the following information to answer the question(s) below.
Your great aunt Matilda put some money in an account for you on the day you were born. This account pays 8% interest per year. On your 21st birthday the account balance was $5,033.83.
-Which of the following statements is FALSE?
A) The process of moving a value or cash flow backward in time is known as discounting. 
B) FV = 
C) The process of moving a value or cash flow forward in time is known as compounding. 
D) The value of a cash flow that is moved forward in time is known as its future value.

Quizplus · Accepted Answer

The statement in option B is not a complete sentence and does not make sense. It appears to be a code or technical error. The other three statements are true and relate to the concept of time value of money, including discounting, compounding, and future value.

Use the Following Information to Answer the Question(s) Below