Question 1
You can estimate the amount by which your wealth will increase from an investment using
◦ standard deviation.
◦ discounted range of returns.
◦ time value of money.
◦ analysis of past returns.
Question 2
The time value of money concepts do not include
◦ interest or the cost of money.
◦ payments of principal and interest.
◦ present and future values.
◦ the risks associated with various investments.