4 ms·
The NPV of $88.75 in future consumption is $77.2 (assuming the investment achieved average returns, which the average investment will). Comparing dollar values
by yummyfajitas 11y ago
The NPV of $88.75 in future consumption is $77.2 (assuming the investment achieved average returns, which the average investment will).
Comparing dollar values of money in the future to dollar values of money in the present is simply incorrect.