Question.3278 - How does the concept of the time value of money affect decisions made across the four executive roles of management – planning, organizing, leading, and controlling? Why is this concept important for the contemporary executive to understand?
Answer Below:
Time xxxxx of xxxxx is xx important xxxxxxx in xxxxxxxxx management xxx central xxxx of xxx concept xx that x today xx worth xxxx than xxx expected xx the xxxxxx Therefore x given xxxxxx of xxxxxxxx in x given xxxxxx of xxxx is xxxxxxx to xxxxxxxxx the xxxxx of xxxxx For xxxxxxxx invested xxxxx at x interest xxx a xxxx will xx at xxx end xx one xxxx The xxxxx is xxxxxxxxxx to xxx expected xx a xxxx Time xxxxx of xxxxx allows xxx to xxxxxxxxx the xxxxxxx Value xx the xxxxx expected xx the xxxxxx or xxx future xxxxx of x current xxxxxxxxxx depending xx the xxxxx interest xxxx Thus xxxx value xx money xxxxxxxx can xx used xx compare xxxxxxxxxxx or xx decide xx loans xx annuities xxx decisions xxxx across xxx following xxxxxxx functions xx management xxx be xxxxxxxx by xxx concepts xx time xxxxx of xxxxx Planning xxx time xxxxx of xxxxx can xx an xxxxxxxxx factor xx planning xxxxxxxx involves xxxxxxx of xxxxx and xxxxxxxx the xxx of xxxxxxx required xx achieve xxxxx goals xxxxxxxx requires xxx managers xx be xxxxx of xxxxxxx economic xxxxxxxxxx know xxxxx competitors xxxxxxxxx and xxxxxxx environment xxxxxxxxxx It xxxx requires xxxxxxxxxxx the xxxxxx For xxxxxxxx if xxxxxxxxxx rsquo x goal xx to xxxxxxxx production xxx the xxxxxx plan xx achieve xxx goal xx the xxxxxxxx of xxx machinery xxx investment xxxxx to xx analyzed xxxxx the xxxx value xx money xxxxxxxx to xxxxxxxx the xxxxxxx of xxx plan xxxxxxxxxx The xxxxxxxxxx function xxxxxxxx organizational xxxxxx and xxxxxxxxxx of xxxxx resources xx achieve xxxxxxxxxx rsquo x goal xxx decisions xx accruing xxxxxxxxxx expenses xx reorganization xx labor xx hiring xxx job xxxxxxxx employees xxxxxxxxx on xxx expected xxxxxx can xx made xxxxx the xxxx value xx money xxxxxxxx Leading xxxx function xxxxxxxx effective xxxxxxxxxx to xxxxxxxx employees xx achieve xxx set xxxxx A xxxxxxxxxx rsquo x effectiveness xxxxxxx on xxx knowledge xx the xxxxxxxxx rsquo xxxxxxxx expectations xxx working xxxxxx The xxxxxxxxxx effectiveness xxx be xxxxxxxx based xx the xxxxxxxxxxx of xxxx in xxxxxxxx amount xx time xxx thus xxxxxxxx profits xx on xxxx achievement xx expenses xx delayed xxxxxxxxx can xx estimated xxxx time xxxxx of xxxxx concepts xxxxxxxxxxx The xxxxxxxxxxx function xx Management xxxxxxxx performance xxxxxxxxxxx against xxx standards xxx performance xx measured xx profits xx production xxx time xxxxx of xxxxx concepts xxxx entail xxx profitability xx the xxxxxxxxxxx depending xx given xxxxxxxx profits xx given xxxxxx of xxxx Today xxxxx s xxxxxxxx and xxxxxxxxxxxxx conditions xxxxxx much xxxxxxxxxx management xxxxxx Even xxxxxx the xxxxxxxxxx functions xxx same xxx increasing xxxxxxxxxxx has xxxxxxxxxxxx quicker xxx quantifiable xxxxx Management xx measured xx the xxxxxxxxxxx of xxxxx both xxxxxxxxxxx and xxxxxxxxxxx Such xxxxxxxxxx is xxxxxxxx when xxx cost xx achieving xxx objective xx not xxxxxxxxx in xxxxxxxxxx to xxx expected xxxxxxx Thus xxx time xxxxx of xxxxx concepts xxxx an xxxxxxxxx role xx management xxxxx s xxxxxxx in xxxxx rsquo x environment xxxxxxxxx Barnett xxx Management xxxxxxxxx In xxxxxxxxxxxx of xxxxxxxx nd xx Retrieved xxxx http xxx referenceforbusiness xxx management xxxxxxx Management- xxxxxxxxx html xxxx qzC x aMore Articles From Finance