Present value

Summary

• The present value of a future cash flow is the nominal amount of money to change hands at some future date, discounted to account for the time value of money. A given amount of money is always more valuable sooner than later since this enables one to take advantage of investment opportunities.

Similar Topics

• Net present value
• Present Laughter
• Adjusted present value
• Actuarial present value
• Present (time)
• Present
• Present tense
• Present perfect
• Past, Present, Future
• No Present Like Time

Related Topics

• Cash flow
• The Time
• Time value
• Time value of money

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