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Lecture 2, Time Value of Money By Ziafat Ali

Lecture 2, Time Value of Money By Ziafat Ali

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Engneering Ecnomics By Sir Engr. Ejaz Gul Aurakzai in Founadtion university Islamabad in 2010
Engneering Ecnomics By Sir Engr. Ejaz Gul Aurakzai in Founadtion university Islamabad in 2010

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Categories:Types, Business/Law
Published by: Engr Syed Ziafat ali on Jun 18, 2010
Copyright:Attribution Non-commercial

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06/19/2010

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ENGINEERING ECONOMICS
Lecture # 2Time value of money
Interest
Present and Future Value
Cash Flow
Cash Flow Diagrams
 
Definitions
Project 
:
aninvestmentopportunitygeneratingcashflowsovertime
Cash Fl 
ow 
:
themovementofmoney(inorout)ofaproject
In
tere
s
:
The
re
n
forloanedmoney
Cash F
ow D
ag 
am
:
Describestype,magnitudeandtimingofcashflowsoversomehorizon
Timevalueofmoney
:
Thechangeintheamountomoneyovergiventimeperiodiscalledthetimevalueomoney.Itisthemostimportantconceptintheengineeringeconomy
 
The Time Value of Money
Money NOWis worth more thanmoney LATER!

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