Consider the FV formula: FV = Principal [(1+ r%)^N] "(1+ r%)^N" is called the compound factor, a.k.a., future value factor. It is always larger than 1 as long as the interest rate is non-negative. It tells us how large the computed FV will be in comparison to the principal. In other words, it represents the scale of the growth.

Which one or ones of the following statements are true regarding it?

Group of answer choices It takes a larger value if the number of compounding periods used to calculate FV is smaller.

a) It takes a larger value if the number of compounding periods used to calculate FV is larger.

b) It takes a larger value if the periodic rate of return used to calcualte FV is lower.

c) It takes a larger value if the periodic rate of return used to calcualte FV is higher.