The objective of ____ is to determine a specific value based on a predetermined discount rate.
A)project evaluation and review technique (PERT)
B)return on investment (ROI)
C)cost/benefit analysis
D)net present value (NPV)

Question

​The objective of ____ is to determine a specific value based on a predetermined discount rate.
A)project evaluation and review technique (PERT) 
B)​return on investment (ROI) 
C)​cost/benefit analysis
D)net present value (NPV)

Quizplus · Accepted Answer

Net present value (NPV) is the process of determining the current value of future cash flows using a predetermined discount rate. It's often used to evaluate the profitability of a project. NPV compares the value of future cash inflows to the cost of acquiring those cash inflows in the present. If the NPV is positive, the project is considered profitable.

​The Objective of ____ Is to Determine a Specific Value

The Objective of ____ Is to Determine a Specific Value