Amount of money paid or received in excess of amount...

Amount of money paid or received in excess of amount borrowed or lent which one of these: 1. Interest 2. Monetary Asset 3. Compound Interest 4. Simple Interest 5. Annuity 6. Present value of a single amount 7. Annuity due 8. Future value of a single amount 9. Effective rate or yield 10. Nonmonetary asset 11. Time value of money 12. Monetary liability

Transcript

00:01 Hello students, here is a question.

00:02 Compounded interest future value a single amount, third is present value of a single amount, present value of an annuity and future value of an annuity.

00:11 So the relevant to this there are five options given here.

00:15 The value of today of future amount will be received or paid.

00:20 The value of future dates are given in an amount of interest written on principle plus interest of two more periods and value today of a series of future amounts to be received and paid.

00:32 So the sum of all the payments are received as accumulated compounded interest.

00:36 So this looks like a match the following.

00:39 So the first is the value today of a future amount to be released or paid.

00:44 So this definition is of present value that is present value of single amount.

00:53 So that will be option c.

00:57 The first will write down the options then we will discuss the answer.

01:00 The first is compound compound interest and the second is future value of single amount future value of single amount and the third is present value of single amount present value of single amount present value of an annuity present value of an annuity and the fifth is future value of annuity future value of annuity.

01:51 So these are the four options we have.

01:53 So for the first one we have a definitions as well.

01:57 So when it comes to a compound interest it is nothing but the written on a principle plus interest of two more periods...

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