present value
noun[CorU]
ukus(abbreviationPV);(alsopresent discounted value)ACCOUNTING
thevaluetoday of anamountofmoneythat youexpecttoreceivein thefuture,consideringthefactthat afuturepaymentisworthless than onereceivednow:
Thegift,paidas anannuity, has apresentvalueof $175 million.
Thevalueof a company'ssharesshouldequalthediscountedpresentvalueofitsfutureprofits.
See also
net present value