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Rate of Return
A measure of the profitability and efficiency of an investment, expressed as a percentage of the original investment.
Initial Investment
The funds allocated to start a business or a project, representing the beginning financial input.
Net Present Value
The calculation of the present value of the sum of the present values of all cash inflows and outflows expected from an investment, using a specific discount rate to value future cash flows.
Cost Savings
Reductions in expenses that contribute to increased profit margins.
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