Since the future is uncertain, the 8th edition dedicates chapters to:
The 8th edition focuses heavily on the "Mathematics of Financial Valuation." Since the future is uncertain, the 8th edition
A. Net Present Value (Valor Presente Neto - VPN) Baca Urbina defines this as the absolute measure of project profitability. Since the future is uncertain
B. Internal Rate of Return (Tasa Interna de Retorno - TIR) The relative measure. Since the future is uncertain, the 8th edition
C. The Benefit/Cost Ratio (Relación Beneficio/Costo) Crucial for public sector projects.
The book provides a strong foundation in the "Time Value of Money." It covers: