what is net present value in simple terms
Net present value In finance, the net present value (NPV) or net present worth (NPW)[1] is a measurement of profit calculated by subtracting the present values (PV) of cash outflows (including initial cost) from the present values of cash inflows over a period of time.[2] Incoming and outgoing cash flows can also be described as benefit and cost cash flows, respectively.[3]
Dividend yield Its reciprocal is the Price/Dividend ratio.
Aggregate expenditure Aggregate expenditures is defined as : AE = C+Ip+G+NX,
Net domestic product The net domestic product (NDP) equals the gross domestic product (GDP) minus depreciation on a country's capital goods.[1]