Cash Flow

The investment decision rule ensures the required expectations in terms of returns from any cost. The investor’s expectations will be

  • To get Maximum Return.
  • To have Minimum Risk.
  • To have Safety for the funds.
  • To have Liquidity through marketability, so that funds can be withdrawn at any moment of time.

You know that the cash movements in the project will give immense assurance for reaching the expectations. It is in this context, you need to know how cash flow takes place in the investment and also how to estimate the same.

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Decision rule
Definition

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