When computing an interest or growth rate, the rate will increase the smaller the future value, holding present value and the number of periods constant.

Name: When computing an interest or growth rate, the rate will increase the smaller the future value, holding present value and the number of periods constant.
Brand: Quizplus
Rating: 4.7 (39 reviews)

Question

Quizplus · Accepted Answer

The statement is incorrect. The interest or growth rate will actually increase as the future value increases, holding present value and the number of periods constant.

When Computing an Interest or Growth Rate, the Rate Will