3-2 Topics Covered S Future values S Present values MTONEY MUltiple Cash Flows pErpetuities and Annuities INflation time value SEffective Annual Interest rate Irwin/McGraw-Hill CThe McGraw-Hill Commpanies, Inc, 2001©The McGraw-Hill Companies, Inc.,2001 3- 2 Irwin/McGraw-Hill Topics Covered Future Values Present Values Multiple Cash Flows Perpetuities and Annuities Inflation & Time Value Effective Annual Interest Rate