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Time Value of Money

Posted By aarwinsguidetocfa 1091 days ago on Tutorials - Time value of money definition relates to the value of money in time. How much will a rupee owned today be worth 1 year from now, i.e. If Rs 100 affords me to purchase say X amount of goods today, how many goods will I be able to purchase with the same Rs100, one year from now. Historically it has been found that the value of money has depreciated over the years, i.e. in 1 year from now I will be able to purchase less no. Of goods than X – that I was able to purchase a year back.

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