a quick one here. Ive seen project duration calculated as a percentage of the NPV for each inflow and also just simply multiplying it by the year it relates too (ignoring percentage)
both have different answers I believe which is correct.
(the question it uses different techniques is Jonas chemials and CD for your ref)
thanks
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Project Duration
9y ago#1But either approach gives the same answer.
Multiplying by the PV's and then dividing by the total PV, is the same as multiplying by the PV as a % of the total PV.
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