Time value of money

The time value of money is a critical concept to understand in accounting, especially when dealing with loans, investment analysis, and capital budgeting decisions. The time value of money concept can be used to decide which projects to start and what investments to make. You can also utilize the time value of money concept in your personal life.

Provide two (2) decisions you may need to make that could involve the time value of money. Explain the how the importance of the time value of money will factor into your decision-making process.

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