Question 6 What is the future value of a principal of $20,000 after 5 years if interest is compounded at 5% annually? A. 23,400 B. 15,671 C. 24,088 D. 25,526 Question 7 Which of the following is true about time value of money? A. Money today is worth more than money in the future B. There is no difference in the value of money today and in the future C. Money in the future is worth more than money today D. None of the above is true Question 8 What do the asset turnover ratios measure? A. The liquidity of the firm's current assets B. Management's effectiveness in generating sales from investments in assets. C. The overall profitability of the firm D. The ability of the firm to pay its debt obligations Question 9 In which case will an investor receive the most interest A. 10%, compounded annually B. 10%, compounded monthly C. 10%, compounded weekly D. 10%, compounded daily