Time value of money: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson (Link with Opportunity cost page.) |
imported>Doug Williamson (Expand first sentence.) |
||
| Line 1: | Line 1: | ||
(TVM). | (TVM). | ||
Time value of money is the concept that money held now (or receivable immediately) is worth more than the same amount of money to be received at some later time. | |||
The time value of money is reflected in the charging of interest for the use of money, and also in discounted cash flow analysis. | The time value of money is reflected in the charging of interest for the use of money, and also in discounted cash flow analysis. | ||
Revision as of 22:29, 10 March 2019
(TVM).
Time value of money is the concept that money held now (or receivable immediately) is worth more than the same amount of money to be received at some later time.
The time value of money is reflected in the charging of interest for the use of money, and also in discounted cash flow analysis.
