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Time Value of Money

Time Value of Money. Present Value. a dollar today is worth more than a dollar tomorrow PV = Present Value FV = Future Value r = interest rate t = numbers of time periods 1/(1+r) t = PVIF = PV interest factor. Given ; PV = 100 , i = 10% , t = 1 , FV = ?. 110. 100. 100. 100.

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Price pvia 1 - PowerPoint PPT Presentation

Time Value of Money