As an introduction, the two key concepts in finance are
A) buy low and sell high
B) the time value of money and adjustment for risk
C) be patient, but strike when the time is right
D) manage earnings and save judiciously

Question

Quizplus · Accepted Answer

The time value of money and adjustment for risk are two key concepts in finance. The time value of money refers to the idea that money today is worth more than money in the future, due to the potential for earning interest or returns. Adjustment for risk refers to the idea that investments with higher risk should have higher expected returns.

As an Introduction, the Two Key Concepts in Finance Are