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You tie a short length of string to a small ring and hold this ring at eye level, about a foot from your face. By focusing on the ring, you are able to make the ring swing back and forth. You are surprised by this automatic micromovement of your fingers. You most likely have experienced a(n)__________.
Profitability Index
A financial tool that calculates the relationship between the costs and benefits of a project, where a value above 1 indicates a profitable project.
Present Value
The current value of a future sum of money or stream of cash flows, given a specified rate of return.
Initial Investment
The amount of money used to start a project, purchase assets, or establish a business foundation.
Simple Rate Of Return
A method of calculating the return on an investment without taking into account compound interest or the passage of time.
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