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#reading-6-time-value-of-money

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#reading-6-time-value-of-money

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#reading-6-time-value-of-money

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**Subject 1 Time Value of Money and Interest Rates**

ts the relationship between time, cash flow, and interest rate. There are three ways to interpret interest rates: Required rate of return is the return required by investors or lenders to postpone their current consumption. <span>Discount rate is the rate used to discount future cash flows to allow for the time value of money (that is, to bring a future value equivalent to present value). Opportunity cost is the most valuable alternative investors give up when they choose what to do with money. In a ce

ts the relationship between time, cash flow, and interest rate. There are three ways to interpret interest rates: Required rate of return is the return required by investors or lenders to postpone their current consumption. <span>Discount rate is the rate used to discount future cash flows to allow for the time value of money (that is, to bring a future value equivalent to present value). Opportunity cost is the most valuable alternative investors give up when they choose what to do with money. In a ce

status | not learned | measured difficulty | 37% [default] | last interval [days] | |||
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repetition number in this series | 0 | memorised on | scheduled repetition | ||||

scheduled repetition interval | last repetition or drill |

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