FIN 419 Week 2 Summary

FIN 419 Week 2 Summary - The summary of this week is as...

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The summary of this week is as under which includes; present value, future value, amortization schedules, and valuation model. PV is defined as the value at present time whereas FV is defined as the expected or received value in future. As per Gitman who stated in 2006 that the techniques of FV just calculate the cash flows when the projects ends its life however the techniques of PV calculates the cash flows when the project begins and it has zero life. While organizing an investment plan for leaving from the company retirement you can use PV and FV procedures in order to verify the favored age of retirement. Let’s say if one wants to retire today he knows that he had X amount of dollars however one could easily find the FV of the present amount if one wants to continue the project for a longer period of time. It is defined as a plan of equal payment to pay back a loan which shows the share of every loan payment to interest and principal. To keep the information of my loans I usually use loan
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This note was uploaded on 02/26/2012 for the course FIN 419 taught by Professor Abdul during the Fall '11 term at University of Phoenix.

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FIN 419 Week 2 Summary - The summary of this week is as...

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