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Why discounted cash flow method is more accurate compared to non-discounted cash flow method?

Why discounted cash flow method is more accurate compared to non-discounted cash flow method?

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Discounted cash flow method is more accurate compared to non discounted cash flow method because discounted cash flow method considers time value of money. Under discounted cash flow method, all the cash flows are discounted to their present value at relevant discount rate. A dollar today has more value than the dollar to be received after one year. So, this concept is taken into account in discounted cash flows and it shows the more accurate values than the undiscounted cash flow method, which ignores the time value of money and simply concentrates on future cash flows.

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