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Essay

Time Value of Money

Essay specific features

 

Issue:

Business

 

Written by:

Levi R

 

Date added:

April 3, 2014

 

Level:

University

 

Grade:

A

 

No of pages / words:

5 / 1314

 

Was viewed:

9154 times

 

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Essay content:

This is the prime reason why people prefer receiving money today rather in the future. Receiving the funds today allows them to invest their money and receive a greater increase presently oppose to the future. As mentioned earlier, there are several financial applications of time value of money. We will discuss such applications below in further detail...
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We will discuss such applications below in further detail. Future Value/Single Amount "Future value measures what money is worth at a specified time in the future assuming a certain interest rate. This is used in time value of money calculations" (Wilkipedia, 2006). Future value with compound interest and without compound can be calculated two ways: without compound interest FV= PV x (1 + rt)/ 6050=5000 x 1 + 0...
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