Just need short answer(True or false), don't need to explain it. 1.An investment is the current commitment
Question:
Just need short answer(True or false), don't need to explain it.
1.An investment is the current commitment of dollars over time to derive future payments to compensate the investor for the time funds are committed, the expected rate of inflation and the uncertainty of future payments.
True or false
2.A dollar received today is worth less than the same dollar received in the future.
True or false
3.Risk is the uncertainty that an investment will earn its expected rate of return.
True or false
4.The three components of the required rate of return are the nominal interest rate, an inflation premium, and a risk premium.
True or false
5.As the level of risk increases an investor will require an expected return that will compensate for this additional risk.
True or false
6.The required rate of return is the minimum rate of return that will induce an investor to invest.
True or false
7.Participants in primary capital markets that gather funds and channel them to borrowers are called financial intermediaries.
True or false
8.Expected Return = (1 + nominal risk-free rate) (1 + inflation rate) (1 + risk premium) - 1.
True or false