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Danielle is having problems with drinking. She goes to a psychologist who gives her a form to fill out. It has a list of statements about drinking and problems associated with drinking. She is to rate each item between 1 and 3 1 meaning it is not a problem for her, 3 meaning it is a very big problem for her and 2 is in-between. This is an example of
Minimum Required Rate
The lowest return rate necessary for an investment to be considered acceptable.
Net Present Value
Net Present Value (NPV) is a calculation used to determine the current value of a series of future cash flows, taking into account a specified rate of return.
Required Rate
Often referred to as the discount rate or required rate of return, it is the minimum return an investor expects to receive for investing in a project or business.
Net Present Value
A method of evaluating the attractiveness of an investment project, by determining the present value of its expected future cash flows minus the initial investment.
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