Question 31

The present value of $3,000 to be received in two years at a discount rate of 10 percent is $3,630.

Question 31 options:

a true

b false

Question 32

The compound annual growth rate (CAGR) is the average annual growth rate over a specified period of time.

a true

b false

Question 33

The present value technique uses discounting to find the present value of each cash flow at the beginning of a project.

a true

b false

Question 47 (0.2 points)

The future value factor for 10 years at 15% is calculated as (1 + 0.15)10.

a true

b false

Question 2 (0.2 points)

To calculate the present value of a future amount, we divide the future amount by the future value factor.

a true

b false