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Let f and g be real-valued functions. Assume that f and g are nonnegative, that is, for all real numbers and
We say that
is of g(n). written
if there exist positive constants c and such that
For all
Present Value
The present-day financial assessment of a sum of money to be received later or a series of cash flows, based on a specific rate of return.
Discount Rate
In discounted cash flow analysis, the Discount Rate refers to the interest rate employed to ascertain the present value of future cash flows.
Future Cash Flows
Future cash flows refer to the estimated amounts of money to be received or paid by a business in the future, often used in investment analysis and valuation.
Present Value
The immediate monetary value of a future sum of money or cash flow sequences, utilizing a known rate of return for calculation.
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