• Study Resource
  • Explore
    • Arts & Humanities
    • Business
    • Engineering & Technology
    • Foreign Language
    • History
    • Math
    • Science
    • Social Science

    Top subcategories

    • Advanced Math
    • Algebra
    • Basic Math
    • Calculus
    • Geometry
    • Linear Algebra
    • Pre-Algebra
    • Pre-Calculus
    • Statistics And Probability
    • Trigonometry
    • other →

    Top subcategories

    • Astronomy
    • Astrophysics
    • Biology
    • Chemistry
    • Earth Science
    • Environmental Science
    • Health Science
    • Physics
    • other →

    Top subcategories

    • Anthropology
    • Law
    • Political Science
    • Psychology
    • Sociology
    • other →

    Top subcategories

    • Accounting
    • Economics
    • Finance
    • Management
    • other →

    Top subcategories

    • Aerospace Engineering
    • Bioengineering
    • Chemical Engineering
    • Civil Engineering
    • Computer Science
    • Electrical Engineering
    • Industrial Engineering
    • Mechanical Engineering
    • Web Design
    • other →

    Top subcategories

    • Architecture
    • Communications
    • English
    • Gender Studies
    • Music
    • Performing Arts
    • Philosophy
    • Religious Studies
    • Writing
    • other →

    Top subcategories

    • Ancient History
    • European History
    • US History
    • World History
    • other →

    Top subcategories

    • Croatian
    • Czech
    • Finnish
    • Greek
    • Hindi
    • Japanese
    • Korean
    • Persian
    • Swedish
    • Turkish
    • other →
 
Profile Documents Logout
Upload
Riksbank will most likely revise its repo rate - Nordea e
Riksbank will most likely revise its repo rate - Nordea e

- Prudential Indonesia
- Prudential Indonesia

... Let us take two investors, “Eddy” and “Susanne”. They decide to invest in the same investment fund at the same time. “Eddy” is a bit of a risk taker who thinks the price of the fund will move higher. “Susanne” prefers a more cautious approach. They both invest the same amount of money, US$1,200, wit ...
the time value of money - Pegasus Server
the time value of money - Pegasus Server

... 7. Examine the ratios. These will be defined for you. What conclusions can you draw? For example, what is the loan/deposit ratio? For many banks, deposits are not growing as fast as loans so this ratio is much higher than the historical 80% level. What does it mean if the loan/deposit ratio exceeds ...
C01_Reilly1ce
C01_Reilly1ce

... – When rates of return are the same for all years, the AM and the GM will be equal. – When rates of return are not the same for all years, the AM will always be higher than the GM. – While the AM is best used as an “expected value” for an individual year, while the GM is the best measure of an asset ...
Vanguard High-Yield Corporate Fund
Vanguard High-Yield Corporate Fund

18 - Finance
18 - Finance

... This is particularly true for financing small additions to plant and equipment where the cash flows from the investment often cover the servicing requirements of the debt. ...
The revaluation model requires as asset, after initial
The revaluation model requires as asset, after initial

Informational money, Islamic finance, and the dismissal of negative
Informational money, Islamic finance, and the dismissal of negative

1 Binomial Model Hull, Chapter 11 + Sections 17.1 and 17.2
1 Binomial Model Hull, Chapter 11 + Sections 17.1 and 17.2

... If profitable arbitrage is not possible we can find the fair (arbitrage-free) value of the call C from the given data alone without any information about the probabilities of the stock going up or down! Strategy: 1. Write 3 calls for C 2. Buy 2 shares for S = $50 3. Borrow $40 at 25% to be paid back ...
Niroshan Senavirathne.pmd
Niroshan Senavirathne.pmd

Foreign Exchange Markets And Forward Exchange
Foreign Exchange Markets And Forward Exchange

Shapiro CHAPTER 5 solutionsOrig
Shapiro CHAPTER 5 solutionsOrig

... a. “Because our new expansion project has the same systematic risk as the firm as a whole, we need do no further risk analysis on the project.” Answer: Investors holding the firm’s stock in their portfolios will consider the systematic risk calculation most important. However, analysis and simulatio ...
Commodity money
Commodity money

... goods and services. A monetary economy is welfare improving compared with barter economy because it avoids mutual coincidence of wants. ...
the full report
the full report

Dan diBartolomeo
Dan diBartolomeo

www.uri.edu
www.uri.edu

Ameriprise® Stock Market Certificate
Ameriprise® Stock Market Certificate

... With a $1,000 minimum investment, the Ameriprise Stock Market Certificate allows you to choose how you participate in the stock market. Whichever option you choose, Ameriprise Certificate Company guarantees your principal. The interest you earn depends on the change in value of the S&P 500 Index fro ...
Chapter F4
Chapter F4

... is planning to buy the stocks or bonds, to a company that is in need of additional financing and has to choose whether to issue stock (equity) or bonds (debt).  Let’s assume that the company wants to acquire approximately $20,000,000 cash, and their balance sheet looks like this prior to acquiring ...
The Monetary System
The Monetary System

... The Meaning of Money • Money – Set of assets in an economy – That people regularly use – To buy goods and services from other people ...
Momma Told Me Not to Do That: Our Discount for Estate Tax
Momma Told Me Not to Do That: Our Discount for Estate Tax

... engaged in a trade or business, almost all assets consist of money, stocks, and other publicly traded securities, and essentially only family members have been members. D. Section 731 is Only the Beginning in Determining Whether There is Gain on Liquidation and Distribution Section 704 provides that ...
CH07 - U of L Class Index
CH07 - U of L Class Index

... The weights are determined by how much of each type of financing that we ...
REIT performance and the impact of interest rates and leverage
REIT performance and the impact of interest rates and leverage

the benefit of actively managed bond separate accounts in a portfolio
the benefit of actively managed bond separate accounts in a portfolio

... allocation has the flexibility to access different sectors and do so when they are undervalued. Just look at the cyclicality of investment grade bond sector returns in Exhibit 3. As you can see, Treasuries (often a primary component of a laddered portfolio) were the top performer (indicated by the y ...
Determinants of Financial Leverage in Indian Pharmaceutical Industry
Determinants of Financial Leverage in Indian Pharmaceutical Industry

HW9_ANS
HW9_ANS

... The LM curve would shift down and to the right if the nominal money supply or expected inflation increased or if the price level or nominal interest rate on money decreased. In addition, the curve would shift down and to the right if there were a decrease in wealth, a decrease in the risk of alterna ...
< 1 ... 98 99 100 101 102 103 104 105 106 ... 178 >

Present value

In economics, present value, also known as present discounted value, is the value of an expected income stream determined as of the date of valuation. The present value is always less than or equal to the future value because money has interest-earning potential, a characteristic referred to as the time value of money, except during times of negative interest rates, when the present value will be greater than the future value. Time value can be described with the simplified phrase, “A dollar today is worth more than a dollar tomorrow”. Here, 'worth more' means that its value is greater. A dollar today is worth more than a dollar tomorrow because the dollar can be invested and earn a day's worth of interest, making the total accumulate to a value more than a dollar by tomorrow. Interest can be compared to rent. Just as rent is paid to a landlord by a tenant, without the ownership of the asset being transferred, interest is paid to a lender by a borrower who gains access to the money for a time before paying it back. By letting the borrower have access to the money, the lender has sacrificed the exchange value of this money, and is compensated for it in the form of interest. The initial amount of the borrowed funds (the present value) is less than the total amount of money paid to the lender.Present value calculations, and similarly future value calculations, are used to value loans, mortgages, annuities, sinking funds, perpetuities, bonds, and more. These calculations are used to make comparisons between cash flows that don’t occur at simultaneous times. The idea is much like algebra, where variable units must be consistent in order to compare or carry out addition and subtraction; time dates must be consistent in order to make comparisons between values or carry out simple calculations. When deciding between projects in which to invest, the choice can be made by comparing respective present values of such projects by means of discounting the expected income streams at the corresponding project interest rate, or rate of return. The project with the highest present value, i.e. that is most valuable today, should be chosen.
  • studyres.com © 2025
  • DMCA
  • Privacy
  • Terms
  • Report