Explain what is meant by the time value of money Why is a bird in the hand worth two (or so) in the bush Which capital budgeting approach ignores this concept Is it optimal ...

The time value of money refers to the fact that mo ...

Explain what is meant by the time value of money. Why is a bird in the hand

Question:

Explain what is meant by the time value of money. Why is a bird in the hand worth two (or so) in the bush? Which approach ignores this concept? Is it optimal?
Capital Budgeting
Capital budgeting is a practice or method of analyzing investment decisions in capital expenditure, which is incurred at a point of time but benefits are yielded in future usually after one year or more, and incurred to obtain or improve the...