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Which of the following statements is true? a. The riskier a future cash flow, the less valuable it is today (in present value terms). b.
Which of the following statements is true?
a. The riskier a future cash flow, the less valuable it is today (in present value terms).
b. If the size of a future cash flow from an asset is uncertain, it cannot be considered in estimating the value of the asset.
c. Both of the above.
d. None of the above..
I am wondering which of these is the correct answer and why, please. Moreover, I chose D for this question and it is wrong.
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