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Net present value

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Definition Edit

Net present value (NPV) is

a technique used to assess the current worth of future cash flows by discounting those future cash flows at today’s cost of capital. The net present value of a project is the total discounted value of all revenues and costs. NPVs greater than zero generate value for a company.[1]

References Edit

  1. The Broadband Availability Gap, OBI Technical Paper No 1, Glossary, at 134 (full-text).

See also Edit

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