The effective annual rate will increase as the number of, Financial Management

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The effective annual rate will increase as the number of

1. The effective annual rate will increase as the number of compounding periods per year increases.

True

False

2. The time value of money means that a dollar today is worth less than a dollar at any time in the future.

True

False

3. The time value of money means that a dollar today is worth more than a dollar at any time in the future.

True

False

4. Present value factors for amounts are reciprocals of future value factors for amounts.

True

False

5. The present value factor is also known as the discount factor.

True

False

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Financial Management: The effective annual rate will increase as the number of

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