The amount of cash today that is equivalent in value to a payment, or to a stream of payments, to be received in the future. To determine the present value, each future cash flow is multiplied by a present value factor. For example, if the opportunity cost ( opportunity costs) of funds is 10%, the present value of $100 to be received in one year is $100 x [1/(1 + 0.10)] = $91. Bloomberg Financial Dictionary
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The discounted value of future cash flows. Exchange Handbook Glossary
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The current value of a future cash flow discounted at an appropriate interest rate. LIFFE
See discount factor. LIFFE
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The current value of a future cash flows, discounted at an appropriate interest rate. Cash earned in the future is worth less than cash earned immediately because today's cash can be invested and earn interest.
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present value UK US noun [C or U] (ABBREVIATION PV, also present discounted value)
► ACCOUNTING the value today of an amount of money that you expect to receive in the future, considering the fact that a future payment is worth less than one received now: »
The gift, paid as an annuity, has a present value of $175 million.
»The value of a company's shares should equal the discounted present value of its future profits.
Financial and business terms. 2012.