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When looking at the profitability of an investment, what other factors do you consider besides Net Present Value (NPV)?
Advice
As you may have figured out by now, you will want to know terminology and formulas for your finance interview. The interviewer needs to ask these types of questions to make sure you know your stuff. NPV stands for Net Present Value, a factor that is used in assessing investments.
Answer examples
"When looking at the profitability of an investment project, I consider future value calculations, compounding interest, and of course net present value."

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User-Submitted Answers

When looking at the profitability of an investment, what other factors do you consider besides Net Present Value (NPV)?
1.
Benefit cost ratio is another option.
2.
We consider the project at more than npv.
3.
Period of project, incoming fund flow and cash out flow, market condition, work certification procedure and payment period, client reputation, forex flatuation chances, etc.
4.
Detailed study about the project.
5.
ROI, IRR, Cost benefit analysis and ratio .
6.
The commercial viability, alignment with company goals, incremental cost of the project.