Time Value Of Money

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Time Value of Money Abstract

The first steps toward understanding the relationship between the value of dollars today and that of dollars in the future is by looking at how funds invested will grow over time. This understanding will allow one to answer such questions as; how much should be invested today to produce a specified future sum of money?

Time Value of Money

In most cases, borrowing money is not free, unless it is a fiver for lunch from a friend. Interest is the cost of borrowing money.

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