Business Finance - Quiz #3

Quiz
•
Education
•
Professional Development
•
Easy
Val Coruña
Used 1+ times
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5 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
1 min • 2 pts
What is the formula to calculate the future value of a sum of money?
FV = PV × (1 + r)^t
PV = FV × (1 - r)^t
FV = PV × (1 - r)^t
PV = FV × (1 + r)^t
2.
MULTIPLE CHOICE QUESTION
1 min • 2 pts
Which factor in the future value formula represents the annual interest rate?
FV
PV
r
t
3.
MULTIPLE CHOICE QUESTION
1 min • 2 pts
In the present value formula, what does 'r' represent?
The number of years
The initial amount of money
The annual interest rate
The future value of money
4.
MULTIPLE CHOICE QUESTION
1 min • 2 pts
What does the 't' represent in the present value formula?
The initial principal
The annual interest rate
The number of years
The future value of money
5.
MULTIPLE CHOICE QUESTION
1 min • 2 pts
Which of the following types of loans is typically used for financing a home purchase?
Personal Loan
Auto Loan
Mortgage Loan
Payday Loan
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