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Which Type of Constraint Should You Use to Limit the Answer

question 443

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Which type of constraint should you use to limit the answer to a whole number, such as for employees needed?


Definitions:

Net Present Value

The divergence in current value between cash receipts and disbursements over a set period.

Investment Projects

Initiatives undertaken by businesses to invest in resources with the expectation of generating future revenues or reducing costs.

Discount Factor

A factor employed in the discounted cash flow (DCF) methodology to calculate the current value of anticipated cash flows.

Payback Period

The length of time it takes for an investment to generate cash flows sufficient to recover the initial cost of the investment.

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