Milestone One: Time Value Of Moneyaccounting, Southern New H

Milestone One: Time Value of MoneyAccounting, Southern New Hampshire University FIN 550: Corporate Financial Management Jim 09:11:36 GMT -05:00Time Value of Money: ImplicationsThe time value of money (TVM) is “The concept that a sum of money is worth more now than the same sum will be at a future date due to its earnings potential in the interim” (Fernando,2024). Investors focus on this principle when they put their money into a company because they have already estimated the return on their investment. The main objective for an investor is to make money immediately rather than waiting to receive the same amount or more money in the future due to the accumulation of interest. Upon examining The Kroger Companies' financial data for 2023 using their Financial Statement and information from Mergent Intellect, the total Present Value comes out to be $8,008,076.88. This figure represents the combined Present Value of free cash flows for the years 2021, 2022, and 2023.The Kroger Companies observed an increase in free cash flow and capital expenditures from2021 to 2022. However, there was a significant decline in both free cash flow and Present Value from 2022 to 2023. This