Financial analysis Flashcards

1
Q

Future Worth

A

FW = PV (1+i); i=interest rate

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2
Q

Present Value

A

PV=FW/(1+i)^n

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3
Q

Payback period

A

PV(payments)=C(((1+i)^n-1)/(i(1+i)^n ));

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4
Q

Discounted Cash flow

A

DCF= CF/(1+i)^n

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