1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Natasha2012 [34]
3 years ago
6

All else constant, explain why the present value decreases as the discount rate increases.

Business
1 answer:
CaHeK987 [17]3 years ago
6 0

<span>A rise in the discount rate cuts the present value factor and the present value. This is for the reason that a higher interest rate means you would have to set a smaller amount aside today to earn a specified amount in the future. A decrease in the time period increases the present value factor and increases the present value. In other words, when you earn more interest, you can capitalize less money today to have the same amount at a given point in the future.</span>

You might be interested in
What is the amount of money you still owe to their credit card company called everfi answers?
sukhopar [10]
The answer is credit card balance. A credit card balance is the sum of money payable to the credit card company. A new credit card balance may take up to 24 hours to bring up-to-date after a payment has been administered dependent on the Credit Card Company and technique of compensation engaged. The balance can be negative, positive or zero liable on if money is owed if a compensation more than the balance was made or the balance was compensated in complete.
6 0
3 years ago
Read 2 more answers
Federated investors has a , with each mutual fund being managed by several portfolio managers who together take responsibility f
Archy [21]
Federated investors has a LOAN , with each mutual fund being managed by several portfolio managers who together take responsibility for the fund's performance.
4 0
3 years ago
Peeples, Inc., has a book value of equity of $13,500. Long-term debt is $7,700. Net working capital, other than cash, is $1,990.
Reil [10]

Answer:

hope you like my answer

Explanation:

6 0
3 years ago
According to naoroji, what benefits has india received as a result of british rule? check all that apply. understanding of india
Zarrin [17]
The two correct options are:
peace, stability, and order.
new technologies and infrastructure. 

4 0
3 years ago
Read 2 more answers
The highest level of awareness occurs when customers mention a specific brand name when asked about a product or service. Market
DIA [1.3K]

Answer:

top-of-mind awareness

Explanation:

the highest level of awareness, occurs when customers mention a specific brand name first when they are asked about a product or service

6 0
2 years ago
Other questions:
  • Issa water makes up roughly what percentage of your total bodyweight? 35% 25% 60% 70%
    6·1 answer
  • Priya is making a book cover with area of 28 square inches. Sapna is making a book cover with n area of 28 square centimeters. m
    8·1 answer
  • ABC furniture company makes chairs and desks from two resources-labor and wood. The company has 90 hours of labor and 40 feet of
    11·1 answer
  • the accounts receivable account has a total debit postings of 1900 and credit postings of 1100.The balance of the account is a/a
    8·2 answers
  • Which of the following is correct concerning the FOMC? Group of answer choices
    5·2 answers
  • You have $106,000 to invest in a portfolio containing Stock X and Stock Y. Your goal is to create a portfolio that has an expect
    6·1 answer
  • What are the resources, capabilities and core competencies required to compete in the street food market segment? How well do Wi
    10·1 answer
  • brian earned $14,000 last spring giving swimming lessons. He invested part of the money at 5% simple interest &amp; the rest at
    9·1 answer
  • The end product of a team effort is often a written report, a series of self-contained electronic slides, and an oral presentati
    7·1 answer
  • Tamarisk, inc. has assets of $4393000, common stock of $1077000, and retained earnings of $604000. what are the creditors’ claim
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!