Time value of money

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Last updated 6:17 PM on 3/26/26
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4 Terms

1
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<p>Time value of money - present value</p>

Time value of money - present value

Example: using present value

<p>Example: using present value</p>
2
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<p>Time value of money - present value Ordinary Annuity</p>

Time value of money - present value Ordinary Annuity

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3
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<p>Time value of money - present value Annuity Due</p>

Time value of money - present value Annuity Due

  1. When the first payment is due one year from now, use ordinary annuity, factor

  2. When the first payment is due now, use present value of annuity due factor.

4
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Time value of money - present value Annuity Due

Double check to see if factors will be provided or if you’ll need to calculate them.

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