Difference between revisions of "Net Present Value"

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(Created page with "Net Present Value (NPV) is a calculation of the present value of cash inflows and the present value of cash outflows used to determine whether an investment or project...")
 
 
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[[Net Present Value]] ([[NPV]]) is a calculation of the present value of cash inflows and the present value of cash outflows used to determine whether an investment or project is profitable.
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[[Net Present Value]] is analysis used by engineers during capital budgeting to determine whether or not a project should be undertaken.
  
 
==Definition==
 
==Definition==
 
According to the [[ASME EMBOK]],
 
According to the [[ASME EMBOK]],
:[[Net Present Value]] ([[NPV]]). A calculation of the present value of cash inflows and the present value of cash outflows used to determine whether an investment or project is profitable.
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:[[Net Present Value]]. Analysis used by engineers during capital budgeting to determine whether or not a project should be undertaken.
  
 
[[Category: Management]][[Category: Articles]]
 
[[Category: Management]][[Category: Articles]]

Latest revision as of 09:44, 18 July 2020

Net Present Value is analysis used by engineers during capital budgeting to determine whether or not a project should be undertaken.

Definition

According to the ASME EMBOK,

Net Present Value. Analysis used by engineers during capital budgeting to determine whether or not a project should be undertaken.