Which of the following is true about finding the present value of cash flows? Finding the present value of cash flows in future years tells you how much you would need to invest today so that it would grow to equal the given future amount. Finding the present value of cash flows is important for financial theory, but it does not have much relevance to actual business decision making. Finding present value tells you what a cash flow will be worth in future years. What is the value today of a $158,000 cash flow expected to be received 12 years from now based on an annual interest rate of 7%? $70,154 $56,123 $108,739 $355,846
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