An advertised monthly
lending rate of 0.9% is about 11% per year. This difference between an
advertised rate and the annualized rate is based on finer TVM details
that may be overlooked by borrowers. Discuss how you may have used TVM
in a recent investment or loan decision and explain some of the TVM
details that may have been involved in your transaction.
If you have not used TVM in the past
financial transactions what practical TVM application would you expect
to encounter in your future.