Listed below are several terms and phrases associated with concepts discussed in the chapter. Pair each item from List A (by letter) with the item from List B that is most appropriately associated with it. 0 m 0 TK List A List B 1 Interest a. First cash flow occurs one period after agreement begins 2. Monetary asset b. The rate at which money will actually grow during a year 3. Compound interest c. First cash flow occurs on the first day of the agreement 4 Simple interest d. The amount of money that a dollar will grow to 5. Annuity e. Amount of money paid/received in excess of amount borrowed/lent 6. Present value of a single amount 1. Obligation to pay a sum of cash, the amount of which is forced 7 Annuity due 9. Money can be invested today and grow to a larger amount 8 Future value of a single amount . No fixed dollar amount attached 9. Ordinary annuity L Computed by multiplying an invested amount by the interest rate 10. Effective rate or yield Interest calculated on invested amount plus accumulated interest 11. Nonmonetary asset K A series of equalized cash flows 12. Time value of money Amount of money required today that is equivalent to a given future amount 13. Monetary liability m. Claim to receive a fixed amount of money C d K