question 7 the concept of time value of money is important to financial decision making because a it…

question 7 the concept of time value of money is important to financial decision making because a it emphasizes earning interests on money. b it recognizes that earning interests makes $1 today worth more than $1 received in the future. c it can be applied to future cash flows in order to compare cash flows in different time periods. d all of these options are true. e none of these options are true. 1.5 points

question 7 the concept of time value of money is important to financial decision making because a it emphasizes earning interests on money. b it recognizes that earning interests makes $1 today worth more than $1 received in the future. c it can be applied to future cash flows in order to compare cash flows in different time periods. d all of these options are true. e none of these options are true. 1.5 points

Answer

Brief Explanations:

The time - value of money emphasizes that money available now is worth more than the same amount in the future due to its potential earning capacity (interest - earning ability). It is used to compare cash flows at different times. All the statements in options A, B, and C accurately describe aspects of the time - value of money concept.

Answer:

D. All of these options are true.