Summarize concept of time value

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Reference no: EM132923152

You work for a company that wishes to purchase new equipment, and you must have the capital. Before making any purchase, the financial manager (i.e., you in this case) needs to decide if the benefits of the new equipment outweigh the present and future benefits of the capital. For this discussion forum, address the following:

- Summarize the concept of time value as it relates to money.

- Explain how financial managers determine the value today of cash flows expected in the future.

- Analyze how the time value of money impacts investment decisions.

Reference no: EM132923152

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