The Concept of Time Value of Money Is Important to Financial

Multiple Choice

The concept of time value of money is important to financial decision making because

A) it emphasizes earning a return of interest on the money you invested.
B) it recognizes that $1 today has more value than $1 received a year from now.
C) it can be applied to future cash flows in order to compare different streams of income.
D) All of these are correct.