Refer to Scenario 15.1. If the interest rate falls, A) the present va

Refer to Scenario 15.1. If the interest rate falls,

A) the present value of this contract will fall.
B) the present value of this contract will be unaffected.
C) the present value of this contract will rise.
D) Jacob will be paid less than $10 million each year.
E) Jacob will be paid more than $10 million each year as he can invest the money.

ANSWER

C