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Present Value
The present worth of a future amount of money or series of cash flows, considering a certain rate of return.
Rate Of Return
A measure of the gain or loss on an investment over a specified period, expressed as a percentage of the investment’s initial cost.
Cash Flows
The net amount of cash being transferred into and out of a business, typically categorized into operating, investing, and financing activities.
Present Value
Present Value refers to the value today of an amount of money that is to be received in the future, adjusted for a certain rate of return.
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