Time Value of Money 1: Present and Future Value

Learning Outcomes

At the completion of this chapter, you will:
A. Understand the importance of compound interest and time.
B. Pass an un-graded assessment test with 9 problems
I strongly recommend that you use a computer with Excel (or equivalent program) or borrow or purchase a financial calculator to help you complete these two time value of money sections. Although you can do many of the calculations discussed in this section on a standard calculator, the calculations are much easier to do on a financial calculator.  If you have a computer with Excel, you can use Learning Tool 12:  An Excel Based Financial Calculator, which is a spreadsheet-based financial calculator freely available on this website.  The functions you will need for calculations are also available in other spreadsheet programs. Calculators like the Texas Instruments (TI) Business Analyst II, TI 35 Solar, or Hewlett Packard 10BII can be purchased for under $35 and can be helpful. 

Chapter Reading

Please read the chapter on "Time Value of Money 1: Present and Future Value" (PDF)


Slide Presentation

Please click here for the PowerPoint slide presentation (PPT) for this chapter, or here for the slides as a PDF.



NOTE: Information for this chapter is included as part of the video used in the chapter on Debt and Debt Reduction.




Here are the assignments for "Time Value of Money 1: Present and Future Value"



The following learning tools may be helpful with this chapter:

Financial Calculator Tutorial

Learning Tool 12:  An Excel Based Financial Calculator


Additional Materials