A net-present-value analysis is an analysis of the relevant cash flow streams associated with the system at the organization's discount rate.

Question

Quizplus · Accepted Answer

A net-present-value analysis takes into account the relevant cash flow streams related to a system and uses the organization's discount rate to determine the present value of those cash flows. This analysis is used to determine whether a project or investment is financially viable.

A Net-Present-Value Analysis Is an Analysis of the Relevant Cash