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Given appropriate data, be able to manipulate and analyze time value of money scenarios. What is Time Value of Money? How do you compute PRESENT
- Given appropriate data, be able to manipulate and analyze time value of money scenarios.
- What is Time Value of Money?
- How do you compute PRESENT VALUE?
- How do you compute FUTURE VALUE?
- What is an ANNUITY?
- What is a PERPETUITY?
- What three factors are associated with valuing cash flow?
- What is the cost of capital?
- What is DISCOUNTING?
- What is COMPOUNDING?
- Articulate and understand fundamental valuation principles.
- When valuing any asset what three things must you know about the cash flows? Answer Risk of cash flows (interest rate); size of cash flows (payment, present value, future value); and timing of cash flows (number of periods).
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