Money has a greater time value time value
A) when rates of return are higher.
B) when rates of return are lower.
C) when the future is uncertain.
D) when investors are willing to assume greater risks.

Question

Quizplus · Accepted Answer

The time value of money refers to the principle that money today is worth more than the same amount of money in the future, because it can be invested and earn a return. Therefore, when rates of return are higher, the time value of money is greater, as the investor can earn a larger return on their investment.

Money Has a Greater Time Value Time Value