Value Of Time Essay

Time Value of Money Essay
Time Value of Money Project
Show all your work!
Name _________________
1. If Mrs. Beach wanted to invest a lump sum of money today to have $100,000 when she retired at
65 (she is 40 years old today) how much of a deposit would she have to make if the interest rate on
the C.D. was 5%?
a. What would Mrs. Beach have to deposit if she were to use high quality corporate bonds an
earned an average rate of return of 7%.
b. What would Mrs. Beach have to deposit if she were to use common stock and earned an average
rate of return of 11%.
c. What type of a problem is this? ___________
2. If you had a payment that was due you in 5 years for $50,000 and you could earn a 5% rate of
return, how much...show more content...
a. What would be the principal and interest payment on the first payment?
b. What would be the principal and interest payment on the twelfth payment?
6. You want to purchase a truck for $25,000 and you have $3,450 to put down. How much will your
payments be if you financed the truck for 60 months at 6%?
a. How much would the payment be if rate of interest is 5% and you only financed the truck for 48
months?
b. Assuming that you would only finance the truck for 4 years, how much would you need to put
down to get your payment to $450.00?
7. You have $350.00 per month to spend on a car payment. If your credit union charged 7.5%
interest on a used car, how much car can you purchase if you will only finance for 4 years?
__________

8. If you want to purchase a home. You have $15,000 to put down. All you can afford is $1,500.00
per month and you do not want to finance for more than 15 years @ 6% interest, (your taxes will
be $85.00 per month and insurance $200.00 a month), what is the amount you can pay for your
home? (Show all your work)
9. You want to purchase a business with the following cash flows. How much would you pay for
this business today assuming you needed a 14% return to make this deal?
a. Year 2011 $150,000 b. Year 2012 $175,000 c.
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Time Value
TIME VALUE OF MONEY
1. If you were scheduled to receive Rs 100,000 five years hence, but you wish to sell your contract
note for its present value, which type of compounding would you rather have the purchaser of your
contract note to use to find the purchase price, 8 percent compounded: (a) (b) (c) (d) (e)
Continuously Quarterly Semi–annually Annually None of the above
2. According to the rule of 69, the doubling period is equal to (a) (b) (c) (d) (e) 0.25 + (69/ Interest
rate) 0.35 + (69/ Interest rate) 0.69 + (0.35/ Interest rate) 0.69 + (0.25 / Interest rate) None of the
above
3. For a depositor, when the frequency of compounding is increased (a) (b) (c) (d) (e) Additional
gains increase Additional gains dwindle Additional gains...show more content...
All trades on NSE are guaranteed by: (a) (b) (c) (d) (e) SEBI NSDL NSCC CDSL None of the above
13. In respect of the sample shares, sensex reflects the movement of: (a) (b) (c) (d) (e) Average
total market value of the floating stocks Average market value of the floating stocks times a fixed
multiple Average capitalisation of the issued and paid up stocks Average aggregate market value of
the subscribed stocks None of the above
Formatted: Font color: Auto Formatted: Font color: Auto Formatted: Font color: Auto
14. The book value of a firmвЂџs equity is nothing but the book value of its assets minus the book
value of its liabilities: a. True b. False
15. Market value of a firm has to be at least equal to its: (a) (b) (c) (d) (e) Book value Cash and bank
balance Net asset value Lowest of the above None of the above
16. Intrinsic value of a security is its: (a) (b) (c) (d) (e) Market value Book value Economic value
Resale value None of the above
5
KEY 1 (c) 12 (c) 2 (b) 13 (a) 3 (c) 14(a) 4 (e) 15(e) 5 (d) 16(c) 6 (d) 7 (c) 8 (e ) 9 (a) 10 (a) 11 (d)
6
RISK AND RETURN
1. Variance will always be (a) (b) (c) (d) (e) Positive Negative Variable Very high None of the above
2. A normal distribution is completely characterised by (a) (b) (c) (d) (e) Expected return and
standard deviation Required return and variance Expected return and

The Importance of Leisure Time Essay
The Importance of Leisure Time
*No Works Cited Leisure is defined as freedom from the demands of work or duty. Everybody needs
leisure in their lives, to balance the stress of work and life. Leisure helps re–energize and relax
people, so they can perform activities well in their lives. People use their free time (leisure time) in a
variety of different ways; engaging in outdoor activities, entertainment like watching movies or
television, or just having time to themselves.. Another activity people enjoy doing is just
socializing with family and friends. Leisure is an essential part of our lives, and the only problem
with leisure is when can we enjoy it? In our society we have a hard time finding time to relax and
take
a...show more content...
They might do this by cutting back on the hours they work a week. The near–retirement stage are
individuals ranging from the ages of 50 and up. These people are on the verge of retirement and are
planning what to do with the rest of their lives.
After their careers are over they are going to have nothing but time on they hands. At this point of
there careers they are working lesser hours and responsibility at their job is decreasing. This helps
make the transition from working to retirement much easier. I made a survey and issued it to three
people who fall into the three stages. The survey consisted of a variety of question like age, gender,
occupation, wages, leisure time, and activities. The first individual who took the survey fell into the
beginning stage.
This person is a twenty one year old black male. He is a full time student at Illinois State and
workers part time as a life guard at a indoor pool. He is not married and has no children. He works
twenty plus hours a week and only makes $6.30 a hour. He works five days a week, but
sometimes takes morning shifts on Saturdays. He considered leisure as any time away from work
and school. He said he does not get a lot of leisure time, because he does not have any time to just
relax. He has class all morning then in the evening he works and comes home and studies. The only
leisure time he has is over

Essay on Time Value Of Money
Time Value of Money
Time Value of Money To make itself as valuable as possible to stock holders; an enterprise must
choose the best combination of decisions on investment, financing and dividends. In any economy in
which firms have the time preference, the time value of money is an important concept.
Stockholders will pay more for an investment that promises returns over years 1 to 5 than they will
pay for an investment that promises identical returns for years 6 through 10. Essentially one must
determine if future benefits are sufficiently large to justify current outlays. The development of
mathematical tools of the time value of money is important as the first step towards making capital
allocating decisions (Malawi, 2008)....show more content...
Compounding is the arithmetic process of determining the final value of a cash flow or series of
cash flows when compound interest is applied (Malawi, 2008).
The following are the variables used in the mathematical modeling of time value of money:
FV = Future value
PV = Present value
A = Annuity Value i = Interest rate n = Number of periods
As an example, what is better, investing a $100 per month or investing $1200 once a year for the
next 20 years at an interest rate of 5%? Using the future value of annuity relationship, FVa = A *[ ],
one finds that saving on a monthly basis gains us ($41,009–$39,679) $1,330.0 after 20 years.
Table 1, Example of annuity earnings for $1,000.0 (Block & Hirt, ch9 p242)
Even better would be to invest the whole amount up front as "an asset with interest compounded
annually: = Original Investment x (1+interest rate)^number of years" (Investopedia ULC, 2008) and
let it set for 20 years as demonstrated in table 2. Where:
FV = PV (1 + i)n i = interest rate = 5% = 0.05 n = number of years = number of periods = 20.
PV = $24,000
Table 2, $24,000 compounded over a 20 year period.
First Year$24000.00x1.05=$25200.00
Second Year$25200.00x1.05=$26460.00
Third Year$26460.00x

The Time Value Of Money Essay
Until Wednesday April 8, 2015 no country had ever offered a ten–year bond that gave investors a
yield of less than zero percent. That was until Switzerland offered ten–year bonds that lenders are
paying to hold. While many countries like the United States Federal Reserve are preparing to
increase interest rates, the European Central Bank is driving them down. The decreasing interest
rates have forced countries like Switzerland to offer negative yields on their bonds in order to keep
their currency from increasing too far about their Eurozone (European nation) neighbors. However,
this notion challenges the very fundamentals of investing in the bond market. Numerous countries
throughout the Eurozone and Europe are also seeing their yields turning negative. Whereas, various
European countries' rates have only slightly fallen below zero, others continue to fall deeper into
negative territory. It appears that the time value of money (one of the fundamental cores of
investing) seems to count for very little throughout the European bond market.
Although Switzerland was the first to sell ten–year bonds with negative interest rates several other
European countries (both inside and outside the Eurozone) have sold government debt securities
with negative yields. Up until now the highest government debt instrument were five–year maturities.
Switzerland's issuing of a ten–year bond with a negative yield is only one of the numerous strange
monetary occurrences throughout the European

Analysis of The Time Machine Essay
Analysis of The Time Machine The Time Machine by H.G. Wells is considered a "classic" in
today's literary community. I also believe that this novel is a good book. It was an interesting
story the first time I studied it, and I have found new ideas each time I have read it since. It is
amazing that such a simple narrative could have so many complex ideas. Unfortunately, some do
not take the same position that I do. They cast it off as a silly little novel that deserves no merit.
Obviously I disagree with these critics. The Time Machine follows the criteria that I believe a good
novel should have. A good novel should include an element of fantasy and should stimulate ideas in
the audience that they never came to realize before....show more content...
The Time Traveller encounters two races of regressed human beings the Eloi and the Morlocks.
The Eloi are frail creatures, no taller than four feet. They pass their time frolicking in the fields.
They do not seem to be interested in the continuous pursuit of intellectual advance or technological
progress which would assuredly make their lives much easier. Unlike the Eloi, the Morlocks are
subterranean creatures. They are carnivorous, cannot tolerate the daylight and they feed upon the
helpless Eloi at night, whom they breed like cattle. These two races seem to be manifestations of
human characteristics that would only be harmful. The Eloi represent those who live off of human
emotion and activity, and are plagued by premature decrepitness and degeneration. They survive off
the hard work of others. The Morlocks represent an industrialized society in a negative fashion.
They are slovenly, unaesthetic and lack a sense of beauty needed to appreciate life. Wells's believes
that these traits would lead to a degeneration of society.
While these concepts are new and different to those who read Wells's novel, the main idea that
revolutionized science fiction was the introduction of the time machine. The time machine has
become a staple in the science fiction genre. Many movies incorporate the idea of a vehicle that can
move the characters years ahead or behind the present. The time machine is integral to the fantasy
aspect of the story. A fantasy is fiction made

Time Value Of Money Essay
Time Value of Money
The time value of money serves as the foundation for all other notions in finance. It affects business
finance, consumer finance and government finance. Time value of money results from the concept
of interest. The idea is that money available at the present time is worth more than the same amount
in the future due to its potential earning capacity. This core principle of finance holds that, provided
money can earn interest, any amount of money is worth more the sooner it is received. Time value of
money can be illustrated by the fact that a dollar received today is worth more than a dollar received
a year from now because today's dollar can be invested and earn interest as the year elapses. Implicit
in any...show more content...
In addition, individual citizens research the best securities to invest in order to get the most return on
their risk involved.
The financial applications that make up the time value of money are vast in the scope represented.
Time value of money applications assist with domestic as well as international market transactions.
Applications of the time value of money are essential in the following: International Capital Markets,
United States Capital Markets, the supply of Capital Funds, the organization of securities markets,
and finally, the regulation of securities markets.
International Capital Markets are a place where the concept of time value of money is applied. As a
result of a growing global economy, "international capital markets have increased in the last decade
to become larger, more efficient, and more competitive in the new millennium" (Block & Hirt, 2005).
Many companies, especially those from the United States search the international markets in order to
raise debt capital and increase company liquidity. Businesses invest in international markets, not to
expect a return on present value, but on the expectation of an increased value in the future.
The next opportunity for an application of the time value of money is in Government Securities,
federally sponsored credit agencies, as well as state and local securities. Government Securities are
ways that the, "U.S. Treasury can manage the federal governments debt to balance the flow of funds

Value of Time
The value of Time
The value of time is limitless, it cannot be measured. The value of time arises from the fact that
human life is short but he has to do a lot of works within the short span of time. Each work requires
some time. If the work is not finished in time, it may not be finished at all. That explains why time is
so valuable and it should not be lost for nothing.
Tome goes on like the tide of a river and it never waits for anybody. Lost time can never be found
again. Misuse of time is a great crime and it makes life barren like a desert. He is really great who
makes the most of every moment in useful works. Success is bound to come to his doorstep.
Man should utilize time properly. He should be prepared to spend some...show more content...
It moves. What was yesterday is not today. What is today will not be tomorrow. Yesterday is gone.
Today is and tomorrow is yet to come. Yet time is said to have no holiday. It exists always.
The entire creation moves on according to a time pattern. There is birth, growth and death. There
is time for everything. Plants flower and give fruits. Seasons come according to time. A child is
born, grows into boyhood, adolescence, youth, middle age and old age according to age and time.
Every movement of creation is linked with time. One cannot grow paddy in a month nor can a child
become an adult in a year. Everything is fixed to a time–frame.
Time is a free force. It does not wait for any one. It is commonly said that time and tide waits for no
man. Time is money. A minute not usefully spent is an eternal loss. You can never get back the lost
minute. One has to strike the iron when it is hot. The time flies and never returns. If you waste time
it wastes you.
'Time is the best medicine', says Ovid. It is said that time heals all wounds and it even heals what
reason cannot. All human beings are emotional. When negative emotions like fear, anger, envy and
jealousy overtake them, they lose reason and act in haste leading to serious consequences. They
may repent later, as emotions cool down. But the damage done is done and remains forever. Even
that damage can heal with the passage of time. People involved may forget and forgive. That is the
importance of

Time Value
Time Value of Money Extra Problem Set 1 1. You are planning to retire in twenty years. You'll live
ten years after retirement. You want to be able to draw out of your savings at the rate of $10,000
per year. How much would you have to pay in equal annual deposits until retirement to meet your
objectives? Assume interest remains at 9%. [$1254] 2. You can deposit $4000 per year into an
account that pays 12% interest. If you deposit such amounts for 15 years and start drawing money
out of the account in equal annual installments, how much could you draw out each year for 20
years? [$19964.12] 3. What is the value of a $100 perpetuity if interest is 7%? [$1428.57] 4. You
deposit $13,000 at the beginning of every year...show more content...
How much would you have to set aside each year if you could put money away starting now?
14. If you put $5000 in the stock market, how many years would it take you to triple your money if
the market is making 12% a year?
15. If the effective annual interest rate is 8.5% per year, what is the nominal annual interest rate
under monthly compounding?
16. If you put $10 away at the end of each month for the next 40 years at a 12% simple annual
interest rate, how much money would you end up with? What if you started at the beginning of each
month?
17. If you borrow $150,000 for a house at 8% simple annual interest rate for 15 years, what is your
monthly payment?
18. Referring to question 17, how much interest did you pay over the 15 years?
19. What is the value of a $10,000,000 lottery ticket paid out over 20 years if interest rates are at 6%,
the average tax rate is 35%, and the odds of winning are 1/7,000,000?
20. How long would it take to accumulate $50,000 if you started putting $5 in the bank every day
starting at the end of today at simple annual interest rate of 7.3%?
21. How long would it take to accumulate $50,000 if you started putting $5 in the bank every month
starting now at a simple annual interest rate of 7.3%? What if you started at the end of each month?
Answers:
1. 3,558
2. 5,131
3. 952
4. 14.87
5.

The Value of Time Travel Essay
People have often thought of going back in time because of regrets or mistakes they want to fix
in the past. The only way to go to the past is time travel there. Time travel has been know as
science fiction but now scientist have been believing time travel is possible based on the physics
laws. If time travel is possible, then will it be helpful for human begins to go back to the past. Time
travel can't be worth it because if you change something in the past, it will affect a lot in your future.
The people you thought you knew may not be the same people in the future because you change
something in the past. There are different theories stating on that there may be parallel universe and
other versions of us. There are philosophical...show more content...
Scientists have hope that modern technology will help them discover wormholes and explore them.
Another method in physics on how to time travel is through black holes. A black hole has been
discovered by Einstein's theory of general relativity, which showed that when a star dies, it leaves
behind a small, dense remnant core. If the core's mass is more than the sun, the force of gravity
overwhelms all other forces in which it transforms into a black hole. Scientists have said that
black holes can destroy anything that goes in it and it could be hard to get out of a black hole,
once something went in it. In an interview by physicist Lior Burko, he states, "One possibility is
that black holes may allow us to travel to very remote places in the universe, or another universe
entirely," (Kahney, "Black Holes and Space Time"). Black holes may have evidence that there are
different kinds of parallel universe. Even though it is still unclear what black holes can do as in
destroying everything that it goes in or if it leads someone to time travel into another parallel
universe. Scientist are trying to create a black hole, here on earth, to see what blacks can do as in
sending information to another universe. Besides time travel theories on physic and philosophical,
there are also paradox theories about time travel. One paradox theory is the grandfather paradox.
The grandfather paradox means that if someone can go back in time and

Why Do I Value Time Essay
"Time is free, but it's priceless. You can't own it, but you can use it. You can't keep it, but you can
spend it. Once you've lost it you can never get it back." This quote is from Harvey MacKay is
inspirational to me because the most important value in my life is time. Although, most people don't
take time into consideration, it must be valued the most because it is the most precious and powerful
thing in the world. I value time because it's limited, you decide how you choose to spend it, and it
heals all wounds.
Firstly, I value time because it's limited. Every day I wake up and do the same routine. Rarely do
I ever change my daily schedule. My day consists of the same thing every day: waking up,
checking my phone for the time, getting ready, and going to school (if I have class), coming
home to do my homework, and of course associating with my family. I'm the type of person that
gets easily distracted and always seems to have something to do. I live in regret every day from
not picking up the phone to call my family in Cuba every chance I had. The day I realized just
how much time as slipped through my hands was the day I found out that my grandpa had passed
away. There is a common and true saying that "Time and Tide waits for none" which...show more
content...
Most people prefer to spend their time with love ones or friends but I prefer to spend it alone. I
love my halcyon days, just relaxing in my bed enjoying my music and of course thinking of
scenarios that will never happen. As an indolent person I value my time alone especially when it
comes to watching stand–up comedy or a new TV show. I adore movies or TV series in foreign
language, I think diversity is the most beautiful thing ever. It's nice to just forget and travel the
world and learn different customs and language all without leave the comfort of my home. It's nice
to unwind from the world and just be myself even if it's just for a few

Advantages Of Time Travel
Time travel is traveling to another place in time. It can be traveling into pass or the future. Time
travel can be the solution to a lot of problems in the world. We will be able to prevent things from
happening by going into the past and change our decisions or we can go into the future and prepare
for it or try to prevent it too. There are a lot of research going on with time travel but it hasn't been
done by any human yet. Time travel come with challenges like paradoxes, especially when time
traveling into the past. I will discuss the different possibilities of time travel in the future and in the
pass. You cannot move through time by being motionless. You have to be in a different reference
frame which will help you distinguish...show more content...
For time dilation, if you're in a reference frame, that reference frame has a proper time associated
with it. It can be measured with clock, or your watch. Observer one is moving in his reference
frame and observer two in the Earth frame which also has a proper time. The clocks are
hypothetical clocks called a light clock. They have two mirrors parallel to each other with single
photon bouncing between them. Each bounce is called a tick and their length depends on how
big your light clock is. For example, a light clock that is 150,000 kilometers would take two ticks,
to make a second. These type of clocks are not the best because if we are off by the tiniest amount,
whether or not these things were exactly parallel, it would cease to work. They are possible but
just very precise which is not the best for us. The light clock time must match the person's time on
their watch. In these frames, the speed of light is always constant. Meaning that observer one is
going to measure speed of the photon as traveling the same as observer's two photon even though
they are going at different speed. From observer's one perspective, its photon needs to travel a
longer distance but still traveling at the speed of light. So we can conclude that the ticks on
observer's two clock happen slower than the ticks on

Punctuality and Time Essay
Punctuality is being on time or completing something on time. The main thing is time management.
Time management is exercising control over the amount of time spent on activities or it is used to
manage time when accomplishing specific tasks or goals. With this u can break time management it
to categories like Time discipline adding a time limit and the Value of time.
Time discipline is the act of planning out time to do something and then sticking to the time u have
set to do it or someone else has set for u to do and complete it in that set time. Time discipline can
also be using your time wisely and not waiting till the last moment to do it. But allotting time and
doing it in that time so you're not rushed and so u make fewer...show more content...
You command respect and admiration of all who work with you and are an asset. Everybody likes
to work with you such a lovely man. On the contrary an unpunctual man sees himself in arrears as
days pass and is gradually filled with despair. He generally causes inconvenience to others and is
most of the time a liability.
Punctuality is inevitable everywhere. In business also this is very important. If you want to be a
successful businessman, you have to be very particular in being punctual. The failure to keep up an
engagement punctually may mean a setback for his business. If you are not punctual, you can see
your washes away between your cup and lip!
If we study the lives of our great men, we find that punctuality was one of the secrets of their
success in life. The necessity of doing our work punctually should be felt more keenly because
we live today in a complicated society where each work is dependent on the other. The smooth
working of the modern world is due to an increasing recognition of the necessity of doing our work
punctually. Punctuality being so important in life, it is necessary for every man to cultivate this
habit from the very beginning. Once we are punctual, our labours will be lightened, our mind
disciplined and our life will be much easier and brighter.so I guess what I'm saying is if we be
punctual, we can finish up our work at right time. Punctuality checks unnecessary wastage of time.
Time is very valuable

Value Of Time Essay

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Value Of Time Essay