Instructions: Please Define the Following Key Terms

question 39

Essay

Instructions: Please define the following key terms. Show Who? What? Where? When? Why Important?
The Law

---

Definitions:

Cash Flows

The total amount of money being transferred into and out of a business, affecting the company's liquidity.

Cost Of Capital

The average rate of return a company must pay to its long-term creditors and shareholders for the use of their funds.

Discounted Cash Flow

A valuation method used to estimate the value of an investment based on its expected future cash flows, adjusted for the time value of money.

Initial Investment

Initial investment refers to the amount of money initially laid out for an investment project or venture.