Decision makers rely on the future values,rather than on the present values of future cash flows.

Question

Quizplus · Accepted Answer

Decision makers typically rely on the present values of future cash flows rather than their future values because present value calculations discount future cash flows to their value in today's dollars, accounting for the time value of money and providing a more accurate basis for comparison and decision-making.

Decision Makers Rely on the Future Values,rather Than on the Present