If the Time Value of Money Techniques Are Used Correctly

question 53

Multiple Choice

If the time value of money techniques are used correctly, the present value of cash flows far in the future will be

• A)lesser than the present value of the same amount of cash flows in the present.
• B)greater than the present value of the same amount of cash flows in the present.
• C)same as the future value of the same amount of cash flows in the present.
• D)greater than the future value of the same amount of cash flows in the present.

---

Definitions:

Multiple Products

Offering a range of different products within a company's portfolio to appeal to varied consumer needs and preferences.

Segmentation Strategy

A marketing approach that involves dividing a broad target market into subsets of consumers with common needs or characteristics.

Prince Sports

A brand known for manufacturing and selling sporting goods, particularly in tennis and squash.

Target Markets

Target markets are specific groups of potential customers identified by businesses as those most likely to purchase their products or services, characterized by shared demographics, interests, or needs.