Wal Mart

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Clarence S


Date added:

December 16, 2014








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For example, a sum of FV to be received in one year is discounted (at the rate of interest r) to give a sum of PV at present: PV = FV — r·PV = FV/(1+r). Some standard calculations based on the time value of money are: Present Value (PV) of an amount that will be received in the future. Present Value of a Annuity (PVA) is the present value of a stream of (equally-sized) future payments, such as a mortgage...
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A chief measure of price inflation is the inflation rate, which is the percentage change in a price index over time. Inflation can cause adverse effects on the economy. For example, uncertainty about future inflation may discourage investment and saving. Fixed nominal payments unadjusted for inflation in the monetary medium of exchange as a result of the implementation of the Historical Cost Accounting model will widen the real salary gap between those with fixed payments for constant real value salaries and those with inflation-adjusted payments for constant real value salaries...
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