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    Adobe Scan FM ASS TUSHAR

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    sahitya kumawat
    (1) Discounted cash flow techniques take into account the time value of money by discounting future cash flows using a discount rate. This allows analysis of a project's net present value (NPV). (2) The NPV method calculates the present value of future net cash flows and subtracts the initial investment to determine if a project should be accepted. (3) The internal rate of return (IRR) method calculates the discount rate that makes the NPV equal to zero, and projects with an IRR higher than the cost of capital will be accepted.

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    Adobe Scan FM ASS TUSHAR

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    sahitya kumawat
    6 views4 pages
    (1) Discounted cash flow techniques take into account the time value of money by discounting future cash flows using a discount rate. This allows analysis of a project's net present value (NPV). (2) The NPV method calculates the present value of future net cash flows and subtracts the initial investment to determine if a project should be accepted. (3) The internal rate of return (IRR) method calculates the discount rate that makes the NPV equal to zero, and projects with an IRR higher than the cost of capital will be accepted.

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    (1) Discounted cash flow techniques take into account the time value of money by discounting future cash flows using a discount rate. This allows analysis of a project's net present value (NPV). (2) The NPV method calculates the present value of future net cash flows and subtracts the initial investment to determine if a project should be accepted. (3) The internal rate of return (IRR) method calculates the discount rate that makes the NPV equal to zero, and projects with an IRR higher than the cost of capital will be accepted.

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    6 views4 pages

    Adobe Scan FM ASS TUSHAR

    Uploaded by

    sahitya kumawat
    (1) Discounted cash flow techniques take into account the time value of money by discounting future cash flows using a discount rate. This allows analysis of a project's net present value (NPV). (2) The NPV method calculates the present value of future net cash flows and subtracts the initial investment to determine if a project should be accepted. (3) The internal rate of return (IRR) method calculates the discount rate that makes the NPV equal to zero, and projects with an IRR higher than the cost of capital will be accepted.

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    Topic. Date

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