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Profitability Index
A financial metric used to assess the desirability of an investment, calculated as the present value of future cash flows divided by the initial investment cost.
Present Value of Net Inflows
The current value of a series of cash inflows expected in the future, discounted back at a particular rate to account for the time value of money.
Annual After-Tax Cash Flow
The amount of money a company has left after paying all its taxes and accounting for all its expenses and income over a year.
Depreciation
The allocation of the cost of a tangible asset over its useful life, reflecting the decrease in value over time.
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