Answer the following statement(s) true (T) or false (F)
1. In general, with an amortized loan, the payment amount grows over the life of the loan, the principal portion of each payment grows over the life of the loan, and the interest portion declines over the life of the loan.
2. When computing an interest or growth rate, the rate will increase the larger the future value, holding present value and the number of periods constant.
3. When computing an interest or growth rate, the rate will decrease the larger the future value, holding present value and the number of periods constant.
4. When computing an interest or growth rate, the rate will increase the smaller the future value, holding present value and the number of periods constant.
5. When computing the number of deposits needed to accumulate to a future sum, it will take longer the lower the interest rate, holding the future value and deposit size constant.
1. False
2. True
3. False
4. False
5. True
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