Examlex
________ refers to the passage of individuals from one social class to another.
Internal Rate of Return
A metric used in capital budgeting to estimate the profitability of potential investments, calculated as the discount rate that makes the net present value of all cash flows from a particular project equal to zero.
Time Value
The principle that money currently in hand is valued higher than an identical amount received in the future, owing to its capacity to generate earnings.
Accounting Rate of Return
A financial ratio that measures the expected profitability of an investment, calculated by dividing the average annual profit by the initial investment cost.
Initial Investment
The amount of money used to start a project, purchase assets, or invest in securities, which is used as a basis for evaluating the potential profitability of the investment.
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