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Using prior year, historical information can eliminate business risk.
Required Rate of Return
The minimum return an investor expects to receive on an investment to compensate for its risk.
Net Present Value
A method used in capital budgeting to evaluate the profitability of an investment by calculating the difference between the present value of cash inflows and outflows.
Working Capital
The distinction between a corporation's short-term assets and liabilities, showing the available capital for operational purposes.
Fast-Food Chain
A series of restaurants serving food quickly and standardized in method and by the same brand name.
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