ch4 fun 3244

ch4 fun 3244 - Current income= Usualll cash or near cash...

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Current income= Usualll cash or near cash that is periodically received as a result of owning an investment. Total Return= The sum of the current income and capital gains earned on an investment Expected return= Inflation=A period of generally rising prices Deflation=A period of generally declining prices. Time value of money= Interest= The rent paid by a borrower for the use the lenders money Continuous compounding= Interest calculation in which interest is compounded over the smallest possible interval of time. Future value= The value of an asset or cash at a specified date in the future that is equivalent in value to a specified sum today. Present value= The current worth of a future sum of money or stream of cash flows given a specified rate of return. Future cash flows are discounted at the discount rate, and the higher the discount rate, the lower the present value of the future cash flows. Discount rate= The interest rate used in discounted cash flow analysis to determine the
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This note was uploaded on 03/21/2012 for the course FIN 3244 taught by Professor Unknown during the Spring '08 term at FSU.

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ch4 fun 3244 - Current income= Usualll cash or near cash...

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