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When planning an interview, you should keep your questions spontaneous.
Discounted Cash Flow
A valuation method used to estimate the attractiveness of an investment opportunity, calculating the present value of expected future cash flows.
Internal Rate Of Return
A financial metric used to estimate the profitability of potential investments, calculated as the rate of return that makes the net present value of all cash flows from a particular project equal to zero.
Net Present Value
A method used in capital budgeting to assess the profitability of an investment, calculated by subtracting the projected cash outflows from the present value of cash inflows.
Opportunity Cost
The cost of foregoing the second-best option when making a decision, representing the benefits that could have been received by taking a different action.
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