End-of-year savings — get up to 30% off select programs until December 19. Use code EDXEOY24. Learn more.
End-of-year savings — get up to 30% off select programs until December 19. Use code EDXEOY24. Learn more.
NYIF: Introduction to Time Value of Money
Learn about Time Value of Money and how to calculate internal rate of return (IRR), present value (PV) and future value (FV).
This course is archived
About this course
2 weeks
1 – 2 hours per week
Self-paced
Progress at your own speed
In this course, you will learn about time preference and the economic components of nominal interest rates. We will demonstrate the quantitative methods used to value products with multiple cash flows over longer time periods. Calculation of internal rate of return (IRR), present value (PV) and future value (FV) will also be shown using single period and annuity examples.
Associated skills:Annuities, Calculations, Cash Flows, Economics, Quantitative Research, Rate Of Return, Time Value Of Money
What you'll learn
Explain the economic foundation of time preference.
Identify the components of nominal interest rates.
Use quantitative methods to value products with multiple cash flows over longer time periods.
Calculate internal rate of return (IRR), present value (PV) and future value (FV).
Syllabus
LO1: Introduction
LO2: Components of the Nominal Interest Rate
LO3: Valuation of Time Preference
LO4: Annuities
LO5: U.S. Treasury Bill Calculation & the Bond Equivalent Yield