Companies use the discounted cash flow (DCF) approach to valuing projects. The chief metric used is net present value (NPV)
The key input for an NPV calculation is the project cash flows (CFt) over the period "0" to "N".
These cash flows are discounted at the opportunity ____ ___ _____. Typical proxy is ______ (overall financing costs).
Initial cash flow, CF0, is generally negative and reflects capital ______ necessary for project.
The final cash flow, CFN, typically includes the _____ value (from selling remaining assets of project).
