Present Value of Single Sum

This part deals with the preset value of a single sum.  You will hopefully see that present value of a single sum is just the opposite of future value of a single sum which was covered in the presentation relating to Future Value of a Single Sum.  I discuss the concept of present value of a single sum.  In addition, I contrasts discounting, which is the term typically associated with present value problems, with compounding.  Some specific examples are offered to illustrate how to set up the problem, and how to use the Present Value of a Single Sum table to determine the answer.

For a PDF handout of the presentation, click here.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.