The book structures its approach around three primary concepts:
: The central theory that a dollar today is worth more than a dollar in the future due to its earning capacity.
: Unlike purely computational texts, Kozikowski emphasizes the economic meaning behind the numbers. It is designed to help readers not just calculate, but interpret results for real-world decision-making.
: It acts as a precursor to more advanced topics like international finance, where the author also has a significant presence with works like Finanzas Internacionales . Kozikowski Z 2013 Finanzas Internacionales - Academia.edu
: Methods for calculating series of equal payments and the structured repayment of debt.
: Discusses various frequencies, including the principle that capitalization frequency should ideally match the term of the investment (e.g., 90-day capitalization for a 90-day term).
: Quantitative methods to determine the worth of assets and liabilities under various conditions.
The text moves from basic concepts to complex financial applications:
