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Profitability index

• The present value of the future cash flows divided by the initial investment. Also called the benefit-cost ratio.

 
 Embedded terms in definition
 Cash flow
Cash
Future
Initial investment
Present value
 
 Related Terms
 

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To understand the heart and mind of a person, look not at what he has already achieved, but at what he aspires to do. Kahlil Gibran

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