Q » Explain the concept of Net Present Value (NPV).
01 Nov, 2025
A » Net Present Value (NPV) is a financial metric used to evaluate the profitability of an investment or project by comparing the present value of expected cash inflows to the initial investment cost. It accounts for the time value of money, discounting future cash flows to their present value using a discount rate. A positive NPV indicates a profitable investment, while a negative NPV suggests potential loss.
01 Nov, 2025
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