In estimating value of cash flows, compounded future value is classified as its

terminal value
existed value
quit value
relative value

The correct answer is: A. terminal value.

Terminal value is the value of an asset or a business at the end of a period of time. It is calculated by taking the present value of all future cash flows and discounting them back to the present using a discount rate.

The other options are incorrect because:

  • Option B, existed value, is not a term used in finance.
  • Option C, quit value, is the value of an asset or a business that is being sold.
  • Option D, relative value, is a measure of the value of an asset or a business relative to other assets or businesses.

I hope this helps!

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