The present value of a cash flow will always be <u>less</u> than the future dollar amount of the cash flow.
<h3>What is the present value?</h3>
The present value is the value of future cash flows discounted by the discount rate to today's value.
Discounting converts a future value to an equivalent value received today. Discounting measures the relative value of a series of future cash flows to a present value.
For example, if $500 is to be received in ten years, with a discount rate of 5%, its present value will be $307 ($500 x 0.614).
Thus, the present value of a cash flow will always be <u>less</u> than the future dollar amount of the cash flow.
Learn more about the present and future values at brainly.com/question/15904086
Answer:
Option D. Its presence lengthens both a firm's average collection period and its average payment period
Explanation:
The increase in the float, increases the investment in the working capital so the Option A is incorrect
The reason is that it is the time period from the time the cash was deposited in the company's account to the time its was credited due to the payment to the vendors. If the floating time is increased then the collection period and payment period are increased which is the option D and is totally opposite to option B and C.
A decrease in a company stock value will make the company nervous even if the decrease is small due to these following scenarios.
1) They don't have a stockpile of cash.
2) It will become a problem for companies that relies on outside financing to fund their operations. Decrease in stock value will make their creditors wary in letting them borrow more money.
3) Many stock companies use stock options as part of their employee benefits. If the value decreases, then employees will not be encouraged to stay on with the company.
4) Continuous decrease in stock value will result to disgruntled stakeholders which may prompt dismissal of the CEO and his/her team and replacing them with more capable people..
Answer:
The information that is being communicated is controversial
Answer:
immune to liability
Explanation:
Based on the information provided within the question it can be said that the Under federal law, Broadband is immune to liability. This means that they are not obligated to take responsibility for the consequences that may arise from the information that they have provided. Similar to the The Whistleblower Protection Act of 1989 which protects employees from liability when providing information about the illegal actions of their employer.
