Concept of the time value of money

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Which one of the following describes the concept of the Time Value of Money (TVM) most appropriately?

1) It stands for the changing amount of money in time.

2) It stands for the increase or decrease of money invested into financial securities.

3) It stands for decreasing amount of money through spending it in time.

4) It stands for the changes of the purchasing power of the same amount of money over time.

5) It stands for the changes of purchasing power of the changing amount of money over time

Reference no: EM131552291

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