financial mgt

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FINANCIAL MANAGEMENT:

FINANCIAL MANAGEMENT

CONCEPT OF TIME VALUE & MONEY:

CONCEPT OF TIME VALUE & MONEY

Group Members ::

Group Members :

INTRODUCTION:

INTRODUCTION Time Value of Money (TVM) is an important concept in financial management. It can be used to compare investment alternatives and to solve problems involving loans,mortgages , leases, savings, and annuities. The recognition of time value of money is extremely vital in financial decision-making.

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Time value for money is an individual’s preference for possession of a given amount of money . Now, rather than the same amount at some future time.

3 Reasons may be attributed to the individual’s time alue of money : :

3 Reasons may be attributed to the individual’s time alue of money : risk Preference for consumption Investment opportunities

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