• Study Resource
  • Explore Categories
    • 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
Financial Management
Financial Management

... PV is the value on a given date of a future payment or series of future payments, discounted to reflect the time value of money and other factors such as investment risk. Present ...
Sample Final
Sample Final

... Borrowing operating funds under a "line of credit" agreement requires more communication between borrower and lender than borrowing the same amount in several separate loans. True ...
Bond Valuation_Ch11
Bond Valuation_Ch11

... • Improvement over yield-to-market because factors in reinvestment risk • Compares the sensitivity to changes in interest rates • Bond Duration is the average amount of time that it takes to receive the interest and the principal • Calculates the weighted average of the cash flows (interest and prin ...
Methodology and results of the calculation of weighted average cost
Methodology and results of the calculation of weighted average cost

Chapter 7: The Demand for Money
Chapter 7: The Demand for Money

Appendix 3
Appendix 3

Manulife Investments GIC
Manulife Investments GIC

... * Refers to Guaranteed Interest Contract (GIC). † Privacy benefit is not applicable in Saskatchewan. ** Probate is not applicable in Quebec. Fees vary by province. ...
The Ecology of Money chapter four
The Ecology of Money chapter four

... At least four types of money are needed. One is an international currency, playing the role taken by gold before the collapse of the gold exchange standard. The second is a national or regional (sub-national) currency that would relate to the international currency in some way. Thirdly, we would nee ...
consolidated statement of financial position as at 31 march 2011
consolidated statement of financial position as at 31 march 2011

... Service Concession Arrangement entered into between IL&FS, NTBCL and NOIDA A ‘Concession Agreement’ entered into between the NTBCL, Infrastructure Leasing and Financial Services Limited (IL&FS, the promoter company) and the New Okhla Industrial Development Authority, Government of Uttar Pradesh, con ...
Pros and Cons of Structural Models - Berkeley-Haas
Pros and Cons of Structural Models - Berkeley-Haas

National Grid Company plc Annual Report and Accounts 2003/04
National Grid Company plc Annual Report and Accounts 2003/04

... maintains the physical assets, develops the network to accommodate new connections/ disconnections, manages a programme of asset replacement and investment to ensure the longterm reliability of the systems. Revenue from charges for using the transmission network and charges for connections made befo ...
Scottish Equitable Kames Investment Grade Bond
Scottish Equitable Kames Investment Grade Bond

Inflation - socialsciences dadeschools net
Inflation - socialsciences dadeschools net

Low long-term interest rates as a global phenomenon
Low long-term interest rates as a global phenomenon

... ultra-low rates have become a global phenomenon. This paper compares how interest rates in advanced economies and in emerging economies are conditioned by two global benchmarks – the Federal funds rate at the short end and the “world” real interest rate at the long end. Real equilibrium policy rates ...
China`s Monetary Policy: 1998 - 2002
China`s Monetary Policy: 1998 - 2002

Chapter 25
Chapter 25

... • Firms may be able to manage existing assets more effectively under one umbrella • Some assets may be sold if they are redundant in the combined firm (this includes human capital as well) ...
N5 Lifeskills Homework - Budgeting, Planning, Choice and Cost 1
N5 Lifeskills Homework - Budgeting, Planning, Choice and Cost 1

... The total length of the fence is exactly 18 metres. He can either buy nine 2 metre wide panels which will require ten posts or twelve 15 metre wide panels which will require 13 posts. He has two local building merchants from which to aquire the materials. He constructs the following table to compar ...
Corporate Finance
Corporate Finance

... higher than the cost of capital of 7.29% but the competitive advantages that Disney has are unlikely to dissipate completely by the end of the 10th year.  Reinvest to grow: Based on the expected growth rate in perpetuity (2.5%) and expected return on capital forever after year 10 of 10%, we compute ...
Here`s a hint!
Here`s a hint!

... • For each step in the bop, change the values in each critical thinking statement and hints to reflect the duplicate problem, including all values contained in the text of the critical thinking statement, the hints, multiple choice or text-box answers, and incorrect answer responses. This should be ...
Capital Markets
Capital Markets

NBER WORKING PAPER SERIES WHY IS THE DOLLAR SO HIGH? Martin Feldstein
NBER WORKING PAPER SERIES WHY IS THE DOLLAR SO HIGH? Martin Feldstein

Chapter Thirteen: Term Structure of Interest Rates
Chapter Thirteen: Term Structure of Interest Rates

...  If the investor expects the 1-year interest rate 4 years from now to exceed 10%, he can make a speculative profit by selling 5-year bonds, and investing the funds in 4-year bonds. After 4 years, invest the payoff at the 1-year interest rate.  If the investor’s expectations turned out true, a prof ...
Firm Value
Firm Value

Pace University FY11 Financial Statements
Pace University FY11 Financial Statements

CHAPTER THIRTEEN
CHAPTER THIRTEEN

... Box 14.5 in Chapter 14 shows how leverage creates eps growth. The box also shows how the added growth does not add value; leverage also increases the required return for equity and the net effect on equity value of the increased eps growth and the increased leverage is zero. The stock market very mu ...
< 1 ... 86 87 88 89 90 91 92 93 94 ... 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 © 2026
  • DMCA
  • Privacy
  • Terms
  • Report