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PV of future cashflow and NPV

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › PV of future cashflow and NPV

  • This topic has 1 reply, 2 voices, and was last updated 7 years ago by John Moffat.
Viewing 2 posts - 1 through 2 (of 2 total)
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  • May 1, 2018 at 2:33 am #449583
    foeldh123
    Participant
    • Topics: 168
    • Replies: 76
    • ☆☆☆

    PV of future cashflow and NPV

    Hi John,

    i just have some little confusion in understanding those two terms. Can i say that PV of future cashflow is the discounted value of future receipts which do not take into consideration of any investment/initial investment ?

    and for NPV as
    difference between discounted value of future receipts(of a project) and the investment made for that particular project ?

    May 1, 2018 at 6:12 am #449610
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54727
    • ☆☆☆☆☆

    Yes – correct.

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Viewing 2 posts - 1 through 2 (of 2 total)
  • The topic ‘PV of future cashflow and NPV’ is closed to new replies.

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