Enter your email address to download and customize presentations for free
A net present value (NPV) of zero in project management indicates that the project's cash inflows are just enough to cover the initial investment. It means the project is expected to break even, with its returns exactly equal to the initial outlay. This is neither a loss nor a gain situation. However, it's important to note that a project with an NPV of zero may not be considered attractive as it doesn't offer any additional return on the investment.
Question was asked on:
Typically, IRR is calculated via Microsoft Excel, as hand calculations require a lot of trial and error. To determine your project's IRR, estimate the initial cost of the investment and how much it will bring in future cash flows. You use these assumptions and plug them into the IRR formula to see if the cash inflows negate the initial investment's outflow to make the net present value of the project equal zero. (Slide 7)
Asked on the following presentation:
Have you ever wanted to run a project like Elon Musk? What about the ability to predict a project’s success like a financial analyst at Goldman Sachs?...
Download free weekly presentations
Enter your email address to download and customize presentations for free
Not for commercial use
Download 'Ultimate Project Management Toolbox' presentation — 52 slides
+39 more presentations per quarter
that's $3 per presentation
/ Quarterly
Commercial use allowed. View other plans
