This week's reading materials focus on the time value of money. After you have reviewed the information in Chapters 3 and 4, please watch this short video, courtesy of Khan Academy, https://www.khanacademy.org/economics-finance-domain/core-finance/interest-tutorial/present-value/v/time-value-of-money, and answer at least one of the following questions:
- What is the time value of money and why it is important in financial decisions?
- What is the difference between a growth rate and a discount rate?
- Let's say you won the lottery! If you could choose between a lump-sum payoff or an annuity payoff, what factors could influence your decision?