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When the perceived riskiness of future cash flows increases, what is likely to happen to the interest rate used in determining the present value of

When the perceived riskiness of future cash flows increases, what is likely to happen to the interest rate used in determining the present value of such future cash flows?

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current question choices

OptionA

Interest rate will likely increase

OptionB

Interest rate will likely decrease

OptionC

Interest rate will likely be variable

OptionD

Interest rate will likely remain the same

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