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Leona [35]
3 years ago
15

The greater the number of compounding periods within a year, then (1) the greater the future value of a lump sum investment at T

ime 0 and (2) the smaller the present value of a given lump sum to be received at some future date. a. True b. False
Social Studies
1 answer:
qaws [65]3 years ago
4 0

Answer:

False

Explanation:

Compound interest refers to the interest charged on both the amount borrowed and previous interest

The greater the number of compounding periods within a year, then (1) the future value of a lump sum investment at Time 0 not necessarily is greater and (2) the present value of a given lump sum to be received at some future date not necessarily is smaller.

Therefore, the given statement is false.

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