An understanding of the time value of money is a critical contributing factor to successful investment and financing decisions. Write an academic paper of between 750 and 1475 words (3 to 5 pages) explaining the time value of money concept and its relationship to business and management as well as personal life.

Your paper should also include discussion on:

· Differences between present value and future value.

· Differences between present value of ordinary annuity and present value of annuity due.

· How the time value of money can be used by management to maximize return and reduce risk.

Be sure to:

· Follow accepted research approaches and citation format (APA style).