Time value of money acknowledges that money has a different value today than it does in the future.  In simplest terms, it can be described with the question “Would you rather have $100,000 today or $100,000 10 years from now?” Most would rather have the $100,000 today because they could invest it and earn more.  Excel's time value of money functions permit you to quantify the value of $100,000 today versus $100,000 ten years from now in a variety of ways. This course explores Excel Time Value of Money Functions for CPAs.

Learning Objectives
  • Identify which Excel time value of money function should be used in a given circumstance
  • Discover how to associate compounding periods with the appropriate adjustments to rate and number of periods
  • Identify Excel’s sign convention
  • Recognize how to solve for rate, number of periods and payment
  • Recognize how to use Capital budgeting for internal rate of return (IRR) and net present value (NPV)
  • Recognize how to use data tables to present alternatives
Last updated/reviewed: March 23, 2024
12 Reviews (45 ratings)

Reviews

5
Member's Profile
I've often played around with the financial formulas in Excel, but found them slightly confusing. This course puts a lot of knowledge in a concise format that was easy to understand, and, the examples given made it easy to verify how it actually worked with real numbers.
5
Anonymous Author
Clear instructions in text for applicable functions to use for specific scenarios. Took me a while to complete the problems since I don't routinely use the functions, but I learned them well.
4
Anonymous Author
Good course, well explained. The final exam is almost all problems, so leave yourself enough time (since Illumeo doesn't let you save and come back, as it should . . . )
4
Anonymous Author
This CPE course took me longer than expected but was a useful tool in learning these PV/FV functions. They even had a couple I've never heard of before.
5
Member's Profile
tough course, but worth it. Fascinating to learn the different details around the time value of money. Thanks for all the assistance!
4
Anonymous Author
I have used these calculations in my past and I have not done them recently. This is a great refresher on using these calculations.
4
Anonymous Author
This has good explanations of complex subjects. I appreciated the step by step instructions.
5
Anonymous Author
This was an excellent course, explains variety of formulas that can easily be done in Excel
5
Anonymous Author
Text based and pdf. Easy to follow. I need to write a longer review in order to submit.
5
Member's Profile
Good refresher course for using Excel functions instead of my HP 12C. I enjoyed it.
5
Anonymous Author
very useful and down to the basic,recommended if you not so clear with the concepts
4
Anonymous Author
i like the interactive test versus just multiple choice
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Prerequisites
Course Complexity: Foundational

No advanced preparation or prerequisites are required for this course.

Education Provider Information
Company: Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact: For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Instructor for this course
  Course Overview CPE
Course Syllabus
Course Materials
  Excel Time Value of Money Functions for CPAsPDF
REVIEW AND TEST
  REVIEW QUESTIONS quiz
 FINAL EXAMexam