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Why is a dollar today worth more than a dollar tomorrow

Q1. Why is a dollar today worth more than a dollar tomorrow?

Q2. What is an annuity and give some examples.

Q3. What is the effect of compounding more frequently that once per year?

Q4. What is the definition of effective annual rate?

Comment on the Focus on Practice Question in the chapter titles: New Century Brings Trouble for Subprime Mortgages.

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Finance Basics: Why is a dollar today worth more than a dollar tomorrow

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Finance Basics: Why is a dollar today worth more than a dollar tomorrow

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