Examlex
Power increases with _________.
Initial Cost
Initial cost is the total expense incurred to acquire an asset or start a project, including purchase price and all related fees.
Net Present Value (NPV)
A financial metric that calculates the difference between the present value of cash inflows and the present value of cash outflows over a period of time, used to assess the profitability of investments.
Internal Rate of Return (IRR)
A financial metric used to evaluate the profitability of investments, representing the discount rate that makes the net present value of all cash flows from a particular project equal to zero.
Cost of Capital
The rate of return that a company must pay to its capital providers, including both equity and debt holders, for using their capital in the business.
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