Explain What the Close Out Phase of the Project Life

question 84

Essay

Explain what the close out phase of the project life cycle involves.

---

Definitions:

NPV

Net Present Value, a calculation that discounts all cash flows associated with a project or investment back to the present value to assess its profitability.

Operating Cash Flow

A measure of the cash generated by a company's normal business operations, reflecting its capacity to sustain and grow operations.

Financial Break-Even

The point at which total revenue exactly covers total costs, leaving no profit or loss.

Financial Basis

The underlying value or cost used for tax purposes, to calculate capital gain or loss upon the sale of an asset, including adjustments for improvements, depreciation, and costs of sale.