Finance for Everyone: Smart Tools for Decision-Making

From evaluating different types of loans, choosing whether to rent or buy, or deciding whether to go to university, it’s important to understand the value of each financial decision.

On this six-week course from The University of Michigan, you’ll understand how the financial world works while developing the frameworks that will help you make everyday financial decisions.

If you were given the choice of receiving a lump sum now or the same lump sum in two years, which would you choose? It may seem obvious to take the lump sum now, but there’s an important concept behind why: the Time Value of Money (TVM).

This course will guide you through the many applications of finance, including TVM and how interest and compounding affect the value of money over time.

When managing limited financial resources, the biggest asset is often financial planning and smart budgeting.

You’ll look at how to effectively plan your finances and allocate scarce financial resources in a value-add way, using the skills you’ve developed to make smart choices. This course covers the benefits of saving for the future, taking a loan, and how to simplify complex financial decisions, among other things.

The stock market can be a daunting topic to dive into, but it can also be a useful tool in effectively managing your finances.

This course will take you through the basics of stocks and bonds, what they are, the benefits and drawbacks of each, and how they work in the real world.