Modern / discounting cash flow techniques, Financial Management

Modern / Discounting Cash Flow Techniques : These methods generally are of more use to businesses in their investment decisions. They take into account the time value of money and adjust their cash flows consequently before taking a decision. That is the reason why they are measured superior to the traditional methods. There are four techniques under this category of methods. They are -

  • Net present value (NPV)
  • Internal rate of return (IRR)
  • Profitability index (PI)
  • Discounted Payback Period (DPBP)
Posted Date: 10/15/2012 9:21:14 AM | Location : United States







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