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Discount Rate
The interest rate used to discount future cash flows to their present value, enabling comparison of the value of investments made at different times.
Net Present Value
A method used to evaluate investments by calculating the present value of expected future cash flows minus the initial investment cost.
Cash Inflows
Refers to the money received by a company during a particular period, including revenues from sales, investments, and financing activities.
Minimum Acceptable Rate
The lowest rate of return on an investment that a manager or investor is willing to accept.
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