The Present Value of a Future Cash Flow Is the Amount

question 66

True/False

The present value of a future cash flow is the amount you would pay today for the right to receive that future amount.

---

Definitions:

Cervical Vertebra

Vertebrae located in the neck portion of the spine comprising the top part of the spinal column.

Thoracic Vertebrae

The set of twelve vertebrae located between the cervical vertebrae and the lumbar vertebrae that form the midsection of the vertebral column.

Lumbar Region

The lower part of the back comprised of five vertebral bones, L1-L5, which bear much of the body's weight and are the most common site of back pain.

Lordosis

A condition characterized by an excessive inward curvature of the spine, typically in the lower back.