Time Value Of Money

## Quantitative Methods

#### Time Value Of Money

• span style="font-size: 19px; line-height: 21.466665267944336px;">     Time Value of Money (TVM) is a concept in financial management and it is used to compare and  solve problems like loans, mortgages, leases, savings, and annuities

span style="font-size: 19px; line-height: 21.466665267944336px;">          A dollar on hand today is worth more than a pound to be received in the future because the pound on hand today can be invested to earn interest to yield more than a pound in the future. The Time Value of Money mathematics quantify the value of a pound through time. This, of course, depends upon the rate of return or interest rate which can be earned on the investment.

• #### Time Value Of Money

• Time Value of Money (TVM) is a concept in financial management and it is used to compare and solve problems like loans, mortgages, leases, savings, and annuities

A dollar on hand today is worth more than a pound to be received in the future because the pound on hand today can be invested to earn interest to yield more than a pound in the future. The Time Value of Money mathematics quantify the value of a pound through time. This, of course, depends upon the rate of return or interest rate which can be earned on the investment.