Money has time value. Interest rates give money its time value. 100 in hand today is worth more than 100 to be received a year from now. This is because 100 today can be invested to provide 100 plus interest after a year.
Money has time value. Interest rates give money its time value. 100 in hand today is worth more than 100 to be received a year from now. This is because 100 today can be invested to provide 100 plus interest after a year.
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