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This section continues the discussion on the time value of money that began in the previous section of this series. The purpose of this section is to provide you with more information on the time value of money and help you better understand the language of finance. In this section, you will learn about how inflation impacts your investments; you will also learn how to calculate real returns after inflation and annuities and payments on amortized loans.


Once you have completed this section, you should be able to do the following:

  1. Explain how inflation impacts your investments.
  2. Calculate real returns after inflation.
  3. Solve problems related to annuities.
  4. Solve problems related to amortized loans.


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