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What is net present value?

Answer Posted / mehraj wani

Net Present Value is the Difference between the PV of Cash
inflows and the PV of Cash outflow. The NPV is the
technique that takes into account the Time Value of Money.
NPV is a capital budgeting technique to check the
feasibility / viability of a project. If NPV is equal to
zero or greater than Zero(NPV is Positive)than the project
is considered to be viable otherwise not feasible.

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