• 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
Pricing and hedging options in a negative interest rate environment
Pricing and hedging options in a negative interest rate environment

Chapter 3 - Samuel Moon Jung
Chapter 3 - Samuel Moon Jung

... 10) For a commodity to function effectively as money it must be A) easily standardized, making it easy to ascertain its value. B) difficult to make change. C) deteriorate quickly so that its supply does not become too large. D) hard to carry around. Answer: A Ques Status: Previous Edition AACSB: Re ...
Spillover Effect of US Quantitative Easing From the
Spillover Effect of US Quantitative Easing From the

... For decades, the liberalisation of capital markets, as well as the opening of national economies to world market forces, has stimulated the development of a globally integrated economy. One might wonder the impact of such an environment. Over time, the economic realm has shown us that the world was ...
External Financing and Customer Capital: A Financial Theory
External Financing and Customer Capital: A Financial Theory

Cash Flow Disruptions
Cash Flow Disruptions

Download attachment
Download attachment

Official PDF , 36 pages
Official PDF , 36 pages

... period t. Consumption cannot be negative. The representative individual discounts future consumption by some factor p (between0 and 1). It can borrow and lend in international credit markets at an interest rate r, which, for simplicity, I treat as constant over time. Output per period is Q. -Conside ...
Bond Positions, Expectations, And The Yield Curve∗
Bond Positions, Expectations, And The Yield Curve∗

... where Rt is the riskless rate. The expected payoff from a zero coupon bond next period is the expected price next period, when the bond will have maturity n − 1. The risk premium depends on how that price covaries with M ∗ . The key difference to the standard approach is that both moments are computed ...
Frame - Frips
Frame - Frips

... finance should explore using abridged edits of writings by Buffett and Munger. Framing in behavioral finance is the choosing of particular words to present a given set of facts. And, framing can influence our choices. Tversky and Kahneman described "Prospect Theory" in 1979 using framed questions. T ...
Indeterminacy in Sovereign Debt Markets: an Empirical Investigation ∗ Luigi Bocola
Indeterminacy in Sovereign Debt Markets: an Empirical Investigation ∗ Luigi Bocola

Entrepreneurial Valuation Techniques
Entrepreneurial Valuation Techniques

Click here for PDF - University Blog Service
Click here for PDF - University Blog Service

... franchised units, with rights to residual profits from their units, are more motivated and work more efficiently than salary-based employees in company units, thus lowering operafing costs. Chains monitor franchised units infrequently, relying instead on provisions in the contract, which lowers moni ...
The Mining Rate in Open Pit Mine Planning
The Mining Rate in Open Pit Mine Planning

Multi-Period Trading via Convex Optimization
Multi-Period Trading via Convex Optimization

LRI Holdings, Inc. - Investor Relations Solutions
LRI Holdings, Inc. - Investor Relations Solutions

... the comparability, consistency and transparency of financial reporting and to increase the prominence of items reported in other comprehensive income. This guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2011 (our 2013 fiscal year) and sho ...
STANDARD CHARTERED BANK (PAKISTAN) LIMITED
STANDARD CHARTERED BANK (PAKISTAN) LIMITED

CAM Government Securities Investment Fund ANNUAL REPORT
CAM Government Securities Investment Fund ANNUAL REPORT

... investing (more than 4 years), Class B is for medium-term investing (1-3 years) and Class C is for short-term investing (less than 1 year). ...
london borough of camden 2014/15
london borough of camden 2014/15

... working and increased efficiency. The building also features two public swimming pools, as well as a library and access centre. The building has been granted an ‘outstanding’ BREEAM environmental rating, and cut carbon emissions by 64 per cent as well as leading to annual energy savings over £0.5 mi ...
The equity premium
The equity premium

... Another perspective on asset pricing emphasizes that economic agents prefer to smooth patterns of consumption over time. Assets that pay off a relatively larger amount at times when consumption is already high "destabilize" these patterns of consumption, whereas assets that pay off when consumption ...
Risk Aversion and Clientele Effects
Risk Aversion and Clientele Effects

Mindtree Limited Balance sheet Rs in million Note As at June 30
Mindtree Limited Balance sheet Rs in million Note As at June 30

... (a) the financial asset is held within a business model whose objective is to hold financial assets in order to collect contractual cash flows and (b) the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the pri ...
Affine Term Structure Modeling and Macroeconomic Risks at the
Affine Term Structure Modeling and Macroeconomic Risks at the

... on the current macroeconomic state Mt . Second, due to no-arbitrage with holding cash (including possible storage costs), the short-term interest rate rt should have a lower bound. Last, empirical consistency imposes that rt should be able to stay at its lower bound for extended periods to reproduce ...
The Political Economy of Public Debt in Brazil
The Political Economy of Public Debt in Brazil

Form 10-K - corporate
Form 10-K - corporate

... original equipment manufacturer specifications. The segment accounted for 34% of IDEX’s sales and 31% of operating income in 2011, with approximately 53% of its sales to customers outside the U.S. IDEX Health & Science. IH&S consists of the Eastern Plastics, Innovadyne, Isolation Technologies, Rheod ...
PDF Download
PDF Download

< 1 ... 22 23 24 25 26 27 28 29 30 ... 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