1) When comparing alternatives with different cash flow amounts paid in different timeperiods, you should convert all of the amounts to their_____________ to make a better comparison.

A.

future value

B.

present value

C.

accounting rate of return

D.

annuities

2) Present value= _____________ x PV factor.

A.

future value

B.

compound interest

C.

discounted future cash flows

D.

simple interest