Time Value of Money: What It Is and How It Works
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Business • Wealth • Tech on Instagram: "The Time Value of Money (TVM) explains a simple but powerful truth: money you have today is worth more than the same amount in the future. That’s because today’s money can be invested to earn returns, and inflation steadily reduces purchasing power over time. Compounding is what turns time into wealth. It occurs when you earn returns not only on your original investment, but also on the returns you’ve already accumulated. Over long periods, this creates ex
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