PRESENT VALUE OF A SINGLE CASH FLOW Flashcards
1
Q
Given a future cash flow that is to be received in N periods and an interest rate per
period of r, we can use the formula for future value to solve directly for the present
value as follows
A
PV = FVN (1 + r)^N
2
Q
(GIC)
A
Guaranteed Investment Contract
3
Q
A