Fill a form in 3 easy steps - less than 5 mins.
Posted: March 3rd, 2022
Assignment 1: Discussion—Value of Money
Business decisions are based on the time value of money. Bonds, stocks, loans, and other business investments are valued by determining the present value of an expected cash flow, which is also called discounting the cash flow. The time value of money finds considerable application in the decision-making processes of a business.
In this assignment, you will apply the basic principles of the time value of money to business decisions.
Tasks:
Part 1:
You are the chief financial officer of a firm. The firm has an expected liability (cash outflow) of $2 million in ten years at a discount rate of 5%.
Calculate the amount the firm would need on the present date as savings to cover the expected liability.
Calculate the amount the firm would need to set aside at the end of each year for the next ten years to cover the expected liability.
Part 2:
Using the Argosy University online library resources, identify an article that demonstrates the application of time value of money principles to a business decision.
Explain the specific business decision that management made after computing this value. Analyze how management used the concept of the time value of money principles to make this decision.
Analyze factors other than the time value of money that management considered or should have considered in reaching the business decision.
Submission Details:
By the due date assigned, post your responses in a minimum of 500 words to this Discussion Area. Support your assumptions with reputable source material.
Through the end of the module, read and respond to at least two other classmates’ posts. While responding, consider the implications for the firms selected in applying the concept of the time value of money, such as present value (PV) and future value (FV). What would happen if the firms do not apply the concepts of the time value of money to their finances?
You Want Quality and That’s What We Deliver
Our writing team is assembled through a rigorous selection process, where we handpick accomplished writers with specialized expertise in distinct subject areas and a proven track record in academic writing. Each writer brings a unique blend of knowledge and skills to the table, ensuring that our content is not only informative but also engaging and accessible to a general college student audience
Competitive pricing is a cornerstone of our service, where we balance affordability with exceptional quality. In offering the best writers at rates that rival other writing services, we ensure that students can access top-notch content without breaking the bank unnecessarily. Our fair and transparent pricing structure is designed to provide value for money, making us a go-to choice for students seeking high-quality writing services at an affordable price.
Academic integrity is paramount to our writing service, which is why we produce original research and writing content for every paper. Each piece of work is carefully written from scratch, ensuring that every sentence, paragraph, and page is authentic and free from plagiarism. Our rigorous quality control process involves thorough scanning of every final draft, guaranteeing that the content meets the highest standards of originality and academic integrity. With keen attention to citation and referencing, we ensure that every source is properly credited, giving you complete peace of mind. We also have the best plagiarism checkers like safeassign and turnitin thus providing similarity score for each paper.
When you decide to place an order with Dissertation Help, here is what happens: