1.

value: 10.00 points

Required information

The variables in a future value of a lump sum problem include all of the following, except:

Future Value

Payments

Time period

Interest rate

2.

value: 10.00 points

Required information

How would a decrease in the interest rate effect the future value of a lump sum, single amount problem (all other variables remain the same)?

Increase the time needed to save.

Increase the present value.

Decrease the present value.

Increase the future value.

Decrease the future value.

3.

value: 10.00 points

Required information

What is the future value of $1,000 invested for 15 years at a rate of 5%?

$750

$1,000

$1,500

$2,079

$2,790