_____ analysis is based on the concept that a dollar to be received right now has more utility than does a dollar to be received at some time in the future.
A) Liquidity
B) Net present value
C) Financial strength
D) Budget

Question

Quizplus · Accepted Answer

This concept is the basis of the net present value analysis, which calculates the present value of future cash flows by discounting them to their current value using a chosen discount rate. The higher the discount rate, the less value is placed on future cash flows and vice versa.

_____ Analysis Is Based on the Concept That a Dollar