Learn what TVM is, how to calculate it, and why it matters for financial accounting and business decision-making. See examples, formulas, and tips for comparing cash flows of different time periods and values. Understand the time value of money (TVM), including key concepts, formulas, compounding, inflation impact, and real-world business and investment examples. The time value of money (TVM ) assumes the present value of money will grow through investment. Learn how to calculate the present and future value of money based on its potential earning capacity and inflation. See how TVM affects financial decisions, such as investment, loan, and pricing.
