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Discount Rate
The interest rate used in discounted cash flow analysis to determine the present value of future cash flows.
Capital Rationing
The practice of limiting investments or expenditures in new projects due to budget constraints or capital availability.
IRR
IRR (Internal Rate of Return) is a financial metric used to evaluate the profitability of an investment, representing the interest rate at which the net present value of cash flows from the investment is zero.
Initial Investments
The initial amount of money put into a project or venture at the start of its operation.
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