NPV

I will go for the Net Present Value, or NPV. This is because it combines two concepts of value. First, it determines how much would flow in from the intended investment, and compares that against the cash that will flow out in order to make the investment. Since these flows take place over time, and often the investment will pay off much later, it is also necessary take into account the present and future value of money. Because of inflation, money earned in the future is worth less in today's dollars than the same amount would be today. Therefore, NPV calculates all of those inflows and outflows over time, takes inflation and foreign exchange rates into consideration, and expresses the final benefit to the company in terms of today's dollars.