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| Chapter Outline (See related pages) Benjamin Franklin stated a fundamental truth of commerce when he sagely advised young tradesmen that time is money. In finance, we call this the time value of money. But how much time corresponds to how much money? Interest constitutes a rental payment for money, and an interest rate tells us how much money for how much time. But there are many interest rates, each corresponding to a particular money market. Interest rates state money prices in each of these markets. | |||||