In the business world, achieving optimal profit is a goal sought by entrepreneurs. In financial analysis, knowledge of profit calculation is a fundamental skill that entrepreneurs need to possess.
One of the indicators to evaluate the profit potential of an investment project is Net Present Value (NPV). The calculation of NPV forms a strong foundation in project feasibility analysis, enabling business owners to determine whether a project is feasible to pursue or not.
Net Present Value (NPV) is a crucial investment evaluation method employed to assist companies in determining whether an investment or project will yield financial gains or losses over a specified period. NPV is the difference between the present value of cash inflow and the present value of cash outflow from an investment over a specific …
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