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1) For a given interest rate the longer the time period, the lower the present value. How to understand the relationship between time and PV?

1) For a given interest rate the longer the time period, the lower the present value. How to understand the relationship between time and PV?
2) If you borrow mortgage loan to buy a house, the mortgage company will charge you compounding interest? Whats the number of compounding periods in a year? 1, 12, or 365 for your mortgage?

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