Which of the following statements about the time value of money concept is true ?
A) A dollar received today is worth more than a dollar to be received in the future because future dollars are not affected by inflation.
B) A dollar received today is worth less than a dollar to be received in the future because future dollars are not affected by inflation.
C) A dollar received today is worth more than a dollar to be received in the future because funds received today can be invested to earn a return.
D) A dollar to be received in the future is worth more than a dollar received today because it would have less risk associated with it.
Correct Answer:
Verified
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