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Mairoon Mairoon
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Posts: 850
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6 years ago
If the interest rate is positive, the future value of an interest bearing investment is always larger than the present value.
True or False? Provide an explanation.
Textbook 
Microeconomics

Microeconomics


Edition: 6th
Author:
Read 77 times
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Replies
wrote...
6 years ago
True ... Because FV = PV * (1 + i)t. If the interest rate is positive, the future value will always be greater than the present value.
Mairoon Author
wrote...
6 years ago
Thanks to all of you, I passed my course
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