Business A-Level
Net Present Value (NPV)
What Net Present Value (NPV) means in Business A-Level, as defined for Eduqas.
Definition of Net Present Value (NPV)
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Reference: Eduqas
The difference between the present value of future cash inflows and the initial cost of an investment, with future cash flows being discounted to reflect the time value of money.
Topics that use Net Present Value (NPV)
- Component 2: Investment appraisal (Eduqas A-Level)
Related terms
Using Net Present Value (NPV) in the exam
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