Which of the following statements is most correct?
A. The future value of an annuity due to greater than an otherwise identical ordinary annuity
B. A reduction in the discount rate will increase the future value of an otherwise identical cash flow stream
C. Continuous compounding will result in a higher present value relative to an otherwise identical investment compounded monthly at the same nominal rate
D. The FVIFA (i%, N periods) equals the sum of the PVIF (i%, n) for n = 1 to N periods
Answer: Option A
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