Question

Future value is equal to _____________________.

• A. present value divided by (1+n) to the power r
• B. present value multiplied by (1+n) to the power r
• C. present value divided by (1+r) to the power n
• D. present value multiplied by (1+r) to the power n

Answer 1

The correct option is A

present value divided by (1+n) to the power r

Future value is equal to present value multiplied by (1+r) to the power n