Why a dollar today is worth more than a dollar in the future

Assignment Help Financial Management

Reference no: EM131620600

Which of the following is NOT a reason why a dollar today is worth more than a dollar in the future?

A. Inflation reduces the purchasing power of future dollars.

B. The value of a dollar in the future will be compounded more than the value of a dollar today.

C. There is more uncertainty of receiving dollars further into the future.

D. A dollar today can be productively invested in the time before receiving a dollar in the future.

Reference no: EM131620600

Questions Cloud

Explain james madisons role in drafting of religious clauses : Explain James Madison's role in the drafting of the religious clauses in the First Amendment. Do you agree or disagree? Why? Please discuss your view.

How many pounds did she lose : Veronica McCulley weighed 132 pounds before she began a weight-loss program. After eight weeks, she weighed 119 pounds.

Show a breakdown of different types of products : Share one way that you think charts in Microsoft Excel can be used in business (for example, to show a breakdown of different types of products).

Describe the two religious clauses found in first amendment : Describe the two religious clauses found in the First Amendment. Discuss the accommodationist approach and separationist approach as they relate to the textual.

Why a dollar today is worth more than a dollar in the future : Which of the following is NOT a reason why a dollar today is worth more than a dollar in the future?

How much can you save by purchasing two filters : Auto Zone has a special on fuel filters. Normally, the price of one filter is $15, but with this sale, you can purchase two filters for only $27.

Explain the six-sigma quality constraints : Explain the Six-Sigma quality constraints and provide a justification as to why the software development company should consider it.

Considered a cost of financial distress : Which of the following would not be considered a cost of financial distress?

How many coins does she have in the collection : A stack of countertops measures 238 inches. If each countertop is 2 inches thick, how many are in the stack?

User Account

All Pages