Here, you explain the concept saying, 'The time value of money is a demanding subset of economics in engineering economy. At its core, it means money uninvested is money lost. It recognizes that a dollar today is worth more than a dollar years from now because of its accrued interest. Money changes in value, not only because of interest rates but also because of inflation or deflation.'

Also importantly, your professor may have told you during a lecture that if you want to be a millionaire, it's best to set aside savings early in life. That way, you can end up getting further ahead because you take advantage of the full power of compounding. Know this and other important takeaways you learned from engineering economy to knock this line of questioning out of the park.