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Fin/370 Definitions

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Definitions

Define the following terms using your text or other resources. Cite all resources consistent with APA guidelines.

|Term |Definition |Resource you used |
|Time value of money |The idea that money available at the present time is worth more |Time value of money TVM. (2014). Retrieved |
| |than the same amount in the future due to its potential earning |from |
| |capacity. This core principle of finance holds that, provided |http://www.investopedia.com/terms/t/timevalueo|
| |money can earn interest, any amount of money is worth more the |fmoney.asp |
| |sooner it is received. | |
|Efficient market |An efficient market is a market in which all the available |Titman, S., Keown, A., & Martin, J. (2014). |
| |information is fully incorporated |getting started principals of finance. |
| |into securities prices, and the returns investors will earn on |Finanical Managment, principles and |
| |their investments cannot be predicted. |appliations (12 ed., p. 210). New Jersey: |
| | |Pentice Hall. |
|Primary versus secondary |Primary market, A part of the |Titman, S., Keown, A., & Martin, J. (2014). |
|market

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