Present Value Applications for Accountants and Financial Planners

Designed as a practical handbook for accountants and financial planners, this book is a guide to the use of present value analysis in business and individual financial decision making. Through the use of numerous case examples, the authors describe the application of present value analysis to a wide variety of situations ranging from retirement fund accumulations and the evaluation of stock investment to longterm debt management, automobile purchases, and plant and equipment acquisitions. Throughout, information is presented in terms understandable to the reader with no prior knowledge of the subject matter. Following an overview of present value concepts and techniques, the authors devote separate chapters to valuation, investment decision rules, capital budgeting, use and analysis of debt, leases, real estate, business funds, personal funds and other uses of present value analysis. The use of a consistent mathematical notation throughout and the uniform presentation of concepts enhances its usefulness to accounting practitioners, financial planning professionals and entrepreneurs.