Examlex
A tech company loses a high-profile patent-infringement case against its top competitor. Which of the following is true?
Risk
Exposure to the chance of loss or damage, often evaluated in financial terms for its potential impact on investment returns.
Sensitivity Analysis
A technique used to determine how different values of an independent variable will impact a particular dependent variable under a given set of assumptions.
Capital Budgeting
The process a business undergoes to evaluate potential major projects or investments.
Net Present Value
A financial metric that calculates the difference between the present value of cash inflows and the present value of cash outflows over a period of time.
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