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Compare and contrast present value and net present value

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Question 1: Compare and contrast Present Value, Net Present Value and Internal Rate of Return. How can they be used to make financial decisions?

Question 2: Consider a financial decision - buy a two-story cottage - will have to make. How can you use NPV or IRR to make a higher quality decision? (Hint: frame your decision as an investment, with cash going out now and cash coming back in later.)

Reference no: EM132543142

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