Time Value of Money - A to Z (Video) (Course Id 1906)

• Who is this course for?
  This course is for anyone needing Continuing Professional Education (CPE), especially CPAs and accounting professionals seeking to strengthen their understanding of time value of money concepts.

• What is this course about or what problem does this course solve?
  The course provides a comprehensive foundation in time value of money, teaching how to compute present and future values, interest rates, and internal rate of return, along with practical personal and business applications.

• How can the knowledge from this course be used?
  Learners can apply the concepts to financial planning scenarios such as saving for education or retirement, conducting investment analysis, and modeling future financial outcomes.

• Why is this course important to a CPA, Accountant, or IRS Enrolled Agent?
  Since time value of money underpins nearly all financial decision-making, mastering it is critical for accounting professionals involved in investment evaluation, financial modeling, and advising clients.

• When is this course relevant or timely?
  This course is always relevant as it addresses a fundamental principle in finance that is essential for long-term planning, investment strategy, and accurate financial reporting.

• How is a course like this consumed or used?
  The course is delivered as a NASBA QAS self-study video, includes review and final exam questions, and awards 2.0 CPE credits upon achieving a passing score of 70%.

This course thoroughly covers the fundamentals of time value of money, including interest rates, future value, present value, and internal rate of return.  Common personal and business applications are also demonstrated.  Examples include saving for vacations and college educational costs, retirement planning, modeling future outcomes and sensitivity analysis, and investing in bonds and bond pricing.  Time value of money is at the heart of virtually all financial decision making and it is important for business professionals to understand exactly how it works. 

Video - NASBA QAS - Text - NASBA Registry - 1906

Course Learning Objectives

• Define the concept of time value of money.
• Explain how to compute the future value of a variety of cash flows.
• Explain how to compute the present value of a variety of cash flows.
• Explain how to compute the internal rate of return of a variety of cash flows.
• Demonstrate how the concept of time value of money is applied to various savings and retirement plans and investments.

Chapter 1 - Time Value of Money - A to Z

Chapter 1 Review Questions

Glossary