Examlex
What is the difference between an arithmetic and a geometric average? Is one preferred over the other?
Net Present Value
The difference between the present value of cash inflows and outflows over a period of time, used in capital budgeting to assess profitability of investments.
Cash Inflows
Money received by a business from its operational, financing, or investing activities.
Payback Period
The time it takes for an investment to generate an amount of income or cash equal to the cost of the investment.
Net Cash Flow
The sum of all cash receipts minus all cash payments over a period, reflecting the company's liquidity position.
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