The concept of time value of money has several “real-world” applications. Some of the applications range from calculating the payment for a car or mortgage to estimating what interest rate is needed on an investment to send your child to college in 20 years-1) Do you believe the concept of time value money is important in ordinary business relationships? Explain

The concept of time value of money has several “real-world” applications. Some of the applications range from calculating the payment for a car or mortgage to estimating what interest rate is needed on an investment to send your child to college in 20 years.

In your assignment, answer the following TWO questions: 

1) Do you believe the concept of time value money is important in ordinary business relationships? Explain.      

2) How would you use a concept of time value to determine the value of the business?