The basic behavioral premise behind time value of money (TVM) calculations is that ...

50.1K

Verified Solution

Question

Accounting

The basic behavioral premise behind time value of money (TVM) calculations is that
all else being equal, an investor would invest $1000 in an asset if there is a promise that she will get more than $1000 in the future
an individual would rather consume now rather than later
if an investor is indifferent between a choice of $1000 today and $1005 a year from now. he is accepting a yield of 0.5%
all other choices are correct
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students