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Present value value - PowerPoint PPT Presentation

Supplementary Notes

Supplementary Notes. Present Value Net Present Value NPV Rule Opportunity Cost of Capital. Present Value. Present Value Value today of a future cash flow. Discount Factor Present value of a $1 future payment. Discount Rate

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Construction Accounting and Financial Management

Construction Accounting and Financial Management. Chapter 15 Time Value of Money. Equivalence. Cash flows have the same perceived value Cash flows are not equal unless they occur at the same period of time For example, $100 today may be equivalent to $105 a year from now

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Supplementary Notes

Construction Accounting and Financial Management