ACCA F9 Investment Appraisal Methods - Discounted Cash Flow

[@fentonfairway5793]

Fantastic lectures. Thank you for this invaluable information and succinct explanation of the topics.

[@opentuition]

Thank you very much for your comment :-)

[@ahsansheikh1516]

Well explained sir 👍🏻

[@opentuition]

Thank you for your comment 🙂

[@sujallama4620]

😇

[@Farisimo]

i will never understand this topic

[@opentuition]

Yes you will - perservere :-)

[@Farisimo]

@@opentuition I just don’t understand why future cash flow needs to be discounted. For example, Is it essentially saying, if cash flow future value in year1 is at £1000 and there is a fixed interest rate of 10%, it has a present value (year 0) of approx £909 because £909 now would be worth £1000 in one year with 10% interest.