[Verse 1] Sarah gets an offer, ten thousand today Or twelve thousand promised in two years they say Which one should she choose, which path should she take The time value principle helps decisions we make Money in your pocket has power to grow Through investments and interest, the cash starts to flow [Chorus] Present value, future value, time makes money move One dollar today beats tomorrow's two Discount rate's the key, compound growth's the way Money today is worth more than money delayed Calculate the worth, bring future to now Time value of money shows you exactly how [Verse 2] Future value formula, simple and clean Principal times one plus rate to the power of years between If I invest five thousand at six percent rate In ten years I'll have eight thousand nine hundred and wait Compounding's the magic that makes money multiply Each year builds upon what came before, reaching high [Chorus] Present value, future value, time makes money move One dollar today beats tomorrow's two Discount rate's the key, compound growth's the way Money today is worth more than money delayed Calculate the worth, bring future to now Time value of money shows you exactly how [Bridge] Present value works backwards, future amount we know Divide by one plus rate raised to periods, watch it flow Opportunity cost is what drives this game Money sitting idle just isn't the same Risk and return dance together in time Making every dollar count, every financial dime [Verse 3] Annuities flowing, perpetual streams Present value tables help calculate dreams Whether it's bonds or investments you hold Time value principles never get old Inflation erodes what money can buy That's another reason why timing's so high [Chorus] Present value, future value, time makes money move One dollar today beats tomorrow's two Discount rate's the key, compound growth's the way Money today is worth more than money delayed Calculate the worth, bring future to now Time value of money shows you exactly how [Outro] From CPA exams to real world decisions Time value of money guides financial visions Remember the rule that will never deceive Money today's what you should always believe
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