Ch 7-8

Question 1

The xxx (also called six functions of one) are defined as:
The six related compound interest functions used in the mathematics of finance and shown in standard compound interest tables.
This illustrates the principle of x.

Answer 1

six functions of a dollar

anticipation

Question 2

Conversion of benefits received in the future (e.g., periodic incomes, cash flows, reversion) to present value.
defines

Answer 2

Discounting