Discussion and powerpoint
dicussion
6-1: Time Value of Money Discussion
Student Content
Purpose
The purpose of this assignment is to assess your ability to:
● Calculate the Time Value of Money.
Action Items
● Complete the following items listed in the Week 6 Reading and Preparation object:
○ Read “Classroom Content and Pedagogy: Time Value of Money in One Lesson.”
○ Read “Understanding the Time Value of Money.”
○ View “Time Value of Money” in the Week 6 Media object.
○ View “NPV and IRR in Excel 2010” in the Week 6 Media object.
○ View “What is the ‘Time Value of Money’?” in the Week 6 Media object.
● Respond to the following prompt and reply to at least two of your classmates’ responses by 11:59 p.m. on the due date listed above.
○ How does the time value of money affect you personally and professionally? What is the Rule of 72? How is knowing this concept helpful to you?
Submission Instructions
Complete and submit this assignment using the discussion area below.
Grading Criteria
Your contributions to the discussion will be graded according to the Discussion Grading Rubric, which is located in the Discussion Guidelines object. Please do not
hesitate to refer to the rubric before, during, and after writing your responses
Powerpoint presentation 8-10slides
6-2: Time Value of Money Presentation
Starting on: Mon, Aug 8, 2016
Ending on: Sun, Aug 14, 2016
Worth 50 point(s)
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Student Content
Purpose
The purpose of this assignment is to assess your ability to:
● Explain the rationale behind the time value of money.
● Apply theoretical knowledge to a real-world setting.
● Use APA formatting in research-based communication.
Action Items
● Complete the following items listed in the Week 6 Reading and Preparation object:
○ View “Time Value of Money” in the Week 6 Media object.
○ Review “Make Better Business Decisions Using the Time Value of Money.”
■ Access the free “time value of money calculator.”
○ Read “Understanding the Time Value of Money.”
● Practice using the time value of money calculator by replicating the following calculations in the Blackman article:
○ No. 2: How to Calculate Future Value
○ No. 3: The Value of a Regular Income Stream
● Imagine that you are a financial advisor preparing a presentation for your client Bob, who is 25 and has received an inheritance. Your goal is to address the
following three scenarios and make a recommendation based on the time value of money and Bob’s best interests.
● Create an 8- to 10-slide Microsoft PowerPoint or Prezi presentation to the young employees, in which you:
○ Illustrate the time value of money by addressing the following three scenarios:
■ Bob has directed you to invest $10,000 of his inheritance for his retirement 40 years from now. If his investment earns 6% per year for 40 years, how much will
his investment be worth? Show the present value, rate, periods, and future value.
■ Bob has told you that he wants to have $500,000 saved by the time he retires in 40 years. How much of his inheritance would he need to invest now, assuming he
can earn 6% interest per year? Show the present value, rate, periods, and future value.
■ You advise Bob that $500,000 will not support his desired standard of living in retirement and want to encourage him to invest every month. Because he is 25
and is earning an annual income of $40,000 ($3,333 per month), you recommend that he invest $500 each month. At an interest rate of 6% per year, how much money would
Bob have in 40 years? Show the monthly payment (enter it as a negative number because Bob will be paying out that amount each month), rate, periods, and future value.
○ Recommend an investment strategy that is appropriate for Bob.
○ Compose a script for each slide in your presentation using the notes section of Microsoft PowerPoint, or a Microsoft Word document if using Prezi. Be sure to
include a link to your Prezi.
○ Cite any resources used in APA format.
