What is time value of money? Discuss its relevance in financial decision making.

Time Value of Money (TVM) is a fundamental concept in finance that recognizes the principle that a sum of money today is worth more than the same sum in the future. This concept is based on the idea that money has the potential to earn a return or interest over time, and as a result, a dollar received today is more valuable than a dollar received in the future. TVM plays a crucial role in financial decision making and is used in various financial calculations, including investment analysis, loan pricing, and capital budgeting. Here, we will discuss the importance and relevance of the time value of money in _________ ________ _____ _______ __________ ________ _________.
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