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Time Value of Money (The%2BTime%2BValue%2Bof%2BMoney%2B%2526%2BDiscounted%2BCash%2BFlow%2BApplications.ppt)

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Explain and interest rate as a sum of a real risk-free rate, expected inflation, and premiums that compensate investors with different type of risks.Calculate and interpret the effective annual rate, given the stated annual income interest rate and the frecuency compounding, and solve time value of money problems.Calculate and interpret PV and FV of a single sum of money, ordinary annuity, a perpetuity, an annuity due, or a series of uneven cash flows.

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Juan Francisco Rumbea Pavisic

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Creative Commons -