Ch 5: Introduction to Valuation Methods
About This Chapter
Introduction to Valuation Methods - Chapter Summary and Learning Objectives
In this chapter, our instructors will teach you how to calculate the current and future value of an investment. You can watch the video lessons as many times as you like and increase lesson comprehension by reading the written lesson transcript. This brief chapter covers the following topics:
- Future value formula
- The time value of money
- Present value of investments
| Video | Objective |
|---|---|
| How to Calculate Future Value: Formula & Example | Explain compounding returns and the future value of money. |
| Present and Future Value: Calculating the Time Value of Money | Learn about discounting for single and multiple periods. |
| How to Calculate Present Value of an Investment: Formula & Examples | Discover how to calculate the present value of an investment. |
1. How to Calculate Future Value: Formula & Example
This lesson will give an overview of and explain the future value formula. Also in this lesson, various examples will be explored using the future value formula.
2. Present and Future Value: Calculating the Time Value of Money
A central concept in business and finance is the time value of money. We will use easy to follow examples and calculate the present and future value of both sums of money and annuities.
3. How to Calculate Present Value of an Investment: Formula & Examples
This lesson will provide an overview of how to calculate the present value of an investment. Various examples will also be explored using the present value formula. You can test your knowledge of the material with a quiz at the end of the lesson.
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Other Chapters
Other chapters within the Finance 101: Principles of Finance course
- Introduction to Corporate Finance
- Financial Statements, Taxes & Cash Flow
- Financial Statement Basics
- Long-Term Financial Planning & Growth
- Discounted Cash Flow Valuation
- Interest Rates & Bond Valuation
- Stock Valuation
- Net Present Value & Investment Basics
- Capital Investment Decisions
- Accounting Risk & Return
- Return, Risk, & the Security Market Line
- Options & Corporate Finance
- Cost of Capital
- Financial Leverage & Capital Structure
- Dividends & Dividend Policy
- Short-Term Financing & Planning
- Cash & Liquidity Management
- Credit & Inventory Management
- International Corporate Finance
- Studying for Finance 101