Course curriculum

  • 01

    Introduction

    • 910 Time Value of Money Overview

    • 915 Present Value

    • 920 Present Value Months as Period

    • 923 Future Value

    • 927 Future Value Months As Period

    • 930 Future Value vs Present Value

    • 933 Present Value Annuity

    • 936 Present Value Annuity Months as Period

    • 939 Future Value Annuity

    • 942 Future Value Annuity Months

    • 945 Present Value Cash Flow Examples

    • 948 Future Value Cash Flow Examples

    • 951 Present Value Terms Used In Capital Budgeting

    • 954 Net Present Value Assumptions
  • 02

    Practice Probs. - Time Value of Money (Present Value / Future Value)

    • 911 Future Value FV Multiple Forms of Calculation

    • 912 Present Value (PV) Calculation – Multiple Ways

    • 915 Future Value Compounded Annually vs Semiannually

    • 916 Present Value (PV) Decision Making

    • 919 Present value Different Discount Rates Side by Side

    • 920 Present Value Planning Scenario

    • 921 Future Value of an Annuity

    • 922 Future Value Uneven Investments

    • 923 Present Value Annuity

    • 926 Present Value Annuity

    • 927 Present Value Uneven Payments

    • 929 Future Value of a Collectible

    • 930 Future Value of an Annuity

    • 931 Future Value - How Long to Double or Triple Investments

    • 933 Present Value - Estimate Stock Returns & Sale

    • 935 Future Value - Compounded Quarterly

    • 936 Future Value Compounded Annually, Quarterly, & Monthly

    • 940 How Much to Invest to Reach Goal - One Investment vs Annuity

    • 941 Use Annuity Calculation to Find Interest Rate

    • 944 Use Annuity Calculation to Find Interest Rate

    • 945 Use Annuity Calculation to Find Payment Amount

    • 947 Retirement Scenario PV Annuity & FV Annuity

    • 948 Present Value Uneven Payments

    • 950 Deferred Annuity

    • 952 FV of One & PV Annuity Loan - Uneven Repayment

    • 954 Home Loan Payment Calculation

    • 955 Future Value of Annuity Interest Rate Change

    • 956 PV & FV of Annuity College Savings Plan Adjustment
  • 03

    Excel Probs. - Time Value of Money (Present Value / Future Value)

    • 911 Future Value FV Multiple Forms of Calculation

    • 912 Present Value (PV) Calculation – Multiple Ways

    • 915 Future Value Compounded Annually vs Semiannually

    • 916 Present Value Decision Making

    • 919 Present Value Different Discount Rates Side by Side

    • 920 Present Value Planning Scenario

    • 921 Future Value of an Annuity

    • 922 Future Value Uneven Investments

    • 923 Present Value Annuity

    • 926 Present Value Annuity

    • 927 Present Value Uneven Payments

    • 930 Future Value of an Annuity

    • 931 Future Value How Long to Double or Triple Investment

    • 933 Present Value Estimate Stock Returns & Sale

    • 935 Future Value Compounded Quarterly

    • 936 Future Value Compounded Annually, Quarterly, & Monthly

    • 938 Present Value of an Annuity Payments at Beginning of Period

    • 939 Current Payment, Annuity, or Future Payment Alternatives

    • 940 How Much to Invest to Reach Goal – One Investment vs Annuity

    • 941 Future Value Calculate Investment Rate of Return

    • 944 Use Annuity Calculate to Find Interest Rate

    • 945 Use Annuity Calculation to Find Payment Amount

    • 947 Retirement Scenario PV Annuity & FV Annuity

    • 948 Present Value Uneven Payments

    • 950 Deferred Annuity

    • 952 FV of One & PV Annuity Loan – Uneven Repayment

    • 954 Home Loan Payment Calculation

    • 955 Future Value of Annuity Interest Rate Change

    • 956 PV & FV of Annuity College Savings Plan Adjustment

Description

This course will cover time value of money concepts from a Corporate Finance perspective.

We will include many example problems, both in the format of presentations and Excel worksheet problems. The Excel worksheet presentations will include a downloadable Excel workbook with at least two tabs, one with the answer, the second with a preformatted worksheet that can be completed in a step-by-step process along with the instructional videos.

Time value of money concepts become more and more important as we consider decisions that will extend further into the future.

Time value of money calculation are usually grouped into four categories, present value of one, present value of an annuity, future value of one, and future value of an annuity.

The calculation of time value of money concepts can be performed using different method, the method used generally depending on the circumstances. It is useful to understand all methods, even if we have a preferred one, so we can communicate to others no matter what method they use.

Time value of money calculation methods can be done using mathematical formulas, using tables, or using Excel & financial calculators.

This course will consider multiple methods, comparing them, showing when each may be used and the pros and cons of each.