Net Present Value and Other investment Criteria - Net Present Value
3 important questions on Net Present Value and Other investment Criteria - Net Present Value
What is capital budgeting all about?
Trying to determine whether a proposed investment or project will be worth more, once it is in place, than it costs
What is the discounted cash flow (DCF) valuation?
The process of valuing an investment by discounting its future cash flows.
What is the net present value rule?
An investment should be accepted if the net present value is positive, and rejected if it is negative.
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