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On most, if not all, medium to large IT projects, a project manager will never see any of the application code generated by the software developers and must spend time influencing the processes that will lead to better-written software.
Break-Even Time
The period it takes for a business or project to recover its costs, reaching a financial break-even point.
Payback Period
The payback period is the time it takes for an investment to generate cash flows sufficient to recover its initial cost.
Net Present Value
A calculation that compares the present value of cash inflows to the present value of cash outflows over a period of time, used to assess the profitability of an investment.
Payback Period Method
A simple calculation that divides the initial investment by the annual cash inflows to determine how long it will take to recoup the initial investment.
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