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Discount Rate
The interest rate used to discount future cash flows to their present values in various financial models.
Net Present Value
A calculation that evaluates an investment's profitability by discounting expected future cash flows to their present value and subtracting the initial investment.
Cash Inflows
Funds received by a business from its operational activities, investments, or financing, contributing to its cash pool.
Time Value of Money
The belief that possessing money in the present is worth more than holding the same amount later on because it has the potential to increase in value.
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