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Tom meets with a group of employees from throughout the company each week. They meet at breakfast time and discuss their career goals. The company provides meeting space and sometimes provides financial support for a speaker. Tom's group is a .
Discounted Cash Flow
A valuation method used to estimate the attractiveness of an investment opportunity by calculating the present value of expected future cash flows.
Accrual Accounting
A method in accounting where revenues and expenses are recorded when they are earned or incurred, regardless of when the cash is actually received or paid.
Payback Method
A capital budgeting technique that calculates the time needed to recoup the initial investment in a project.
Salvage Value
The estimated value that an asset will realize upon its sale at the end of its useful life.
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