Define the term Net Present Worth?

Microeconomics: Principles & Policy
14th Edition
ISBN:9781337794992
Author:William J. Baumol, Alan S. Blinder, John L. Solow
Publisher:William J. Baumol, Alan S. Blinder, John L. Solow
Chapter9: The Financial Markets And The Economy: The Tail That Wags The Dog
Section: Chapter Questions
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Define the term Net Present Worth?

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Net present worth is defined as present value of the total cash flows over a period of time. In other words, it is the difference between the present value of cash inflow and cash outflow over a period of time. 

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