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The Length of Time Required for a Project's Discounted Cash

question 88

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The length of time required for a project's discounted cash flows to equal the initial cost of the project is called the:

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Definitions:

Market Value

The price at which an asset or service could be bought or sold in a real or virtual marketplace, reflecting its current worth.

Revaluation Method

An accounting method for periodically reassessing the value of an asset, usually upward, to reflect its current value.

Liquidation Value

The estimated amount that would be realized from the sale of a company's assets, after paying off its liabilities, if the company were to be liquidated.

Accrual

The accounting principle that income and expenses are recognized when they are earned or incurred, regardless of when the cash is actually received or paid.

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