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Thread: Future value

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    Default Future value

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    A tourist, driving by a Texas ranch, hit and killed a calf that was crossing the road. The driver went to the owner of the calf and explained what had happened. He then asked what the animal was worth.

    "Oh, about $200 today," said the rancher. "But in six years, it would have been worth $900. So $900 is what I'm out."

    The tourist sat down and wrote out a check and handed it to the farmer.



    "Here, is the check for $900," he said. "It's postdated six years from now."





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