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Sagot :
Time value of money is important because it helps investors and people saving for retirement determine how to get the most out of their dollars. This concept is fundamental to financial literacy and applies to your savings, investments and purchasing power.
Answer:
Time value of money real life example, if you put $100 in a bank, you may be willing to accept a $5 return on an investment after a year. This is because the risk that the bank will not repay you is low. If you lend the same $100 to a stranger, you may require a $20 return on investment instead.
Explanation:
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