Examlex
Simplify the expression. Assume all variables represent positive real numbers.
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Net Present Value
A method used in capital budgeting to evaluate the profitability of an investment, calculated by subtracting the initial investment from the present value of cash inflows over a period of time.
Rate of Return
The percentage of profit or loss on an investment over a specified period.
Required Rate
Often used in reference to the minimum acceptable return on investment or the minimum discount rate used in net present value calculations.
Internal Rate of Return
A metric used in financial analysis to estimate the profitability of potential investments, calculated as the rate of return that makes the net present value of all cash flows from a particular project equal to zero.
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