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Match Each Term with a Statement Below

question 39

Multiple Choice

Match each term with a statement below.

-A two-dimensional array


Definitions:

Present Values

The today's equivalent value of future money or cash flow series, calculated with a defined rate of return.

Cash Inflows

Money received by a business from its activities, e.g., sales of goods, provision of services, loans received.

Cash Outflows

Cash Outflows are the amounts of money paid out by a business in a period, including expenses, investments, and loans repayments.

Profitability Index

A calculation used to determine the relative profitability of an investment, computed by dividing the present value of future cash inflows by the initial investment cost.

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