The concept that a dollar today is worth more than a dollar received in the future is known as:
A) the rule of 72.
B) the time value of money.
C) compounding .
D) discounting.
E) the Fisher equation.

Question

Quizplus · Accepted Answer

The concept that a dollar today is worth more than a dollar received in the future is known as the time value of money. This is because money today can be invested and earn interest, so it will be worth more in the future.

The Concept That a Dollar Today Is Worth More Than