Net Present Value
Definition
NPV. The present value of an investment's future net cash flows minus the initial investment. If positive, the investment should be made (unless an even better investment exists), otherwise it should not.
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Related Terms
hurdle rate, present value
'Net Present Value
' appears in the definitions of these terms on BusinessDictionary.com internal rate of return (IRR), cost benefit analysis (CBA), investment appraisal, payback period method, present value (PV), and
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