Examlex
The value of the right can be calculated under one of the following circumstances.
Present Value
The up-to-date valuation of a future financial sum or cash flow sequence, considering a determined rate of return.
Present Value Factor
A factor used to calculate the present value of a future amount of money or stream of payments, based on a specific rate of return.
Discount Factor
A multiplicative factor used to calculate the present value of future cash flows or income streams, reflecting the time value of money.
Time Value
The viewpoint that money on hand today is considered more valuable than the same amount received in the future, due to potential earnings.
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