3179 - Time Value of Money and Risk
Course Description
Is a dollar more valuable today or tomorrow? What about a year from now? This introductory-level course covers time value of money (TVM) principles and risk and return. You will review the basic TVM techniques used in evaluating all financial decisions and their cash flow implications. For Risk and Return, you will learn how risk influences investment decisions, and how to calculate risk and rates of return. Further, you will explore the benefits of diversification and the use of the portfolio concept in investing.
Students have 90 days from the day they are granted access to complete this course.
Please note: Access to this course will be granted as soon as possible but may take up to 1 business day
Credits
- 3 PMI PDUs
- 1 Ways of Working PDUs
- 2 Business Acumen PDUs
- 0.3 IACET CEUs
- 3 ATD CI Credits
- 3 SHRM PDCs
- 3 HRCI Credits
Learner Outcomes
After this class, you will be able to:
- After this class, you will be able to: Distinguish between points in time and periods of time as shown by a time line
- Define compounding and discounting
- Compute future value or present value for single payment amounts
- Distinguish between single payments and streams of payments and between uneven streams and annuities
- Solve for the interest rate or time period for simple present value and future value problems
- Recognize how risk influences investment decisions
- Calculate risk and rates of return
- Describe how diversification can limit risk
- Explain how diversifiable risk can be lowered using a portfolio approach