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To successfully complete this discussion, you may need to conduct some independent research and reading on the time value of money concept. Future chapters in the textbook will cover some of the uses of the concept. However, having a basic understanding of how the accounting profession uses the time value of money concept will be useful to you throughout your accounting career.

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The time value of money is a critical concept to understand in accounting, especially when working with loans, investment analysis, and capital budgeting decisions. The time value of money concept can be used to decide which projects to start and what investments to purchase for a business.

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