General Discussion

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NPV vs. EPA

Hi Team,

Can anyone help me understand difference between Net Present Value and Economic Value Added(EVA) in Integration Management.

These terms are mentioned in Rita's 6th edition Page 107 and 109. As per book, NPV is the present value of the total benefits minus the costs over many time periods and EVA is amount of added value the project produces for the company's shareholder above the cost of financing the project.

Both definition looks similar to me.

Regards,

Jagjit

 

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