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Net Present Value
The sum of all future cash flows, both incoming and outgoing, of an investment, discounted back to their present value to analyze its profitability.
Investment Project
A project involving the allocation of capital resources to long-term assets that produce returns over time.
Working Capital
A measure of a firm's short-term financial health and its ability to cover its short-term obligations with its short-term assets.
Discount Factor
A multiplier used to discount future cash flows back to their present value, reflecting the time value of money.
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