Present value is how much a certain amount of money:
A)that will be obtained in the future is worth today.
B)that you currently have will be worth in the future.
C)that is earning interest will be worth when you withdraw it.
D)needs to be discounted to be meaningful.

Question

Quizplus · Accepted Answer

Present value refers to the current worth of a future sum of money or stream of cash flows given a specified rate of return. It contrasts with future value, which is the value of an asset or cash at a specified date in the future that is equivalent in value to a specified sum today.

Present Value Is How Much a Certain Amount of Money