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Rate of Return
The augmentation or diminution in an investment's valuation across a specified timeframe, articulated as a fraction of the initial investment expense.
Present Value
The present financial worth of expecting a sum of money or cash flows in the future, calculated by a certain rate of return.
Cash Flows
The cumulative amount of money circulating in and exiting a business, markedly influencing its liquidity position.
Effective Annual Rate
The interest rate on an investment or loan that is compounded annually, reflecting the full amount of interest paid or earned over a year.
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