Discussing the meaning of time value of money

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This week we are discussing the meaning of time value of money and ratio analysis which applies to financial statements and financial management. As well as, if ratio analysis limited to financial statements?

How can I best respond to the post below in regards to the topic above?

The concept that time is money or that money is time is an age old adage about the fact that if you are not using your time to make money or you are not using your money properly then you are in fact wasting your time. This is based in an old belief that money is important to get as much of as possible and that if you are not making money with your time then your time is not valuable. That said I believe that time money is directly corelated to what somebody does. How much money you make can be used to determine how much your time is worth. For instance lawyers literally have rates that determine how much money their work in an hour is worth. Ratio analysis is a quantitative process that companies can go through to determine the operational efficiency in a company or how effectively they are using their time to produce a product. It can also be used to determine profitability by studying financial statements and working them against each other.

Reference no: EM132891429

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