Give an illustration of how to use the formulas for npv and

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You have been asked by a manager in your organization to put together a training program explaining Net Present Value (NPV) and Future Value (FV) and how they are used to evaluate the price of stock. You have been given the following objectives:

Upon completing your Net Present Value (NPV) and Future Value (FV) Training Program, employees should be able to do the following:

Explain NPV and FV.
Describe the factors that are used in the NPV and the FV formulas.
Give an example of how to use the formulas for NPV and FV for a stock purchase.
Summarize the differences between the two formulas and the purpose of using each.

Develop a 10- to 12-slide PowerPoint Presentation (excluding title slide and reference slide) that cover each of the above topics. In the slide notes, include your explanations for each topic above. You must use a minimum of two scholarly sources. Format the presentation and cite your resources according to the APA 6th edition style guide as outlined in the Ashford Writing Center.

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The presentation explains the NPV and FV and it also describes the factors that are used in the NPV and the FV formulas. Moreover, it provides an example of how to use the formulas for NPV and FV for a stock purchase. Furthermore, it summarizes the differences between the two formulas and the purpose of using each. NPV stands for Net Present Value which is explained as the difference between the current values of the concerned cash inflows along with the current value of the cash outflows.FV stands for future value which is the desired amount to which the current investment will rise or grow over the time when it is placed within an account that pays the compound interest. There are few points which explain the differences between NPV and FV.

Reference no: EM13471575

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