Accurate method used to access business investment viability
It is measured for its long-term survival and its ability to have sustainable profits over a period of time.
Net Present Value uses discounted cash flow to accurately quantity the net benefits from a projects
The cash flows are the amounts and timings of the various investment costs and benefits. It is also brought into a common term, so that the net benefits can be quantified and be compared if necessary to competing investment oppotunities.
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