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Week 1 Fin 370 Definitions

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Definitions

Define the following terms using your text or other resources. Cite all resources consistent with APA guidelines.

|Term | | |
|Time value of money |Definition |Money received in the present is more valuable than the same money in the |
| | |future, given there is interest earned during that period. |
| |Resource you used |Time Value of Money. (2015). In Investopedia. Retrieved from |
| | |http://www.investopedia.com/terms/t/timevalueofmoney.asp |
|Efficient market |Definition |Existing share prices in the stock market always reflect and incorporate |
| | |relevant information because of stock market efficiency, thus it is |
| | |impossible to “beat the market.” |
| |Resource you used |Efficient Market Hypothesis-EMH. (2015). In Investopedia. Retrieved from |
| | |http://www.investopedia.com/terms/e/efficientmarkethypothesis.asp |
|Primary versus secondary market |Definition |Securites are created within the primary market, and then traded among |
| | |investors within the secondary market....

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