Net present value (NPV) represents the difference between the present value of cash inflows and outflows over a set time period. Knowing how to calculate net present value can be useful when choosing ...

When teaching financial accounting, faculty often discuss bonds payable and how to calculate the issue price of a bond. The next time you cover this topic, consider teaching students how to calculate ...

The internal rate of return, or IRR, is the interest rate that provides a net present value, or NPV, of future cash flows equal to the initial investment amount. Flip that definition around, and the ...