The Present Value of Future Cash Flows Minus Initial Cost

question 64

Multiple Choice

The present value of future cash flows minus initial cost is called:

• A) the future savings of the project.
• B) the net present value of the project.
• C) the equivalent sum of the investment.
• D) the initial investment risk equivalent value.

---

Definitions:

Available Resources

The assets, both tangible and intangible, that are at an organization’s disposal for use in achieving its objectives.

Geographical Structures

Organizational structures that are based on geographical regions, allowing companies to address local preferences and operations.

Differentiate Products

The process of distinguishing a product or service from others in the market to make it more appealing to a particular target segment.

Various Locations

Multiple places or sites that are distinct from one another.