DEVELOPMENT VALUE FOR MONEY ENGINEERING 1

NPV

1. DEVELOPMENT 1. The systematic use of scientific and technical knowledge to meet specific objectives or requirements. 2. An extension of the theoretical or practical aspects of a concept, design, discovery, or invention. 3. The process of economic and social transformation that is based on complex cultural and environmental factors and their interactions. 4. The process of adding improvements to a parcel of land, such as grading, subdivisions, drainage, access, roads, utilities. INVESTMENT An investment is an asset or item that is purchased with the hope that it will generate income or will appreciate in the future. In an economic sense, an investment is the purchase of goods that are not consumed today but are used in the future to create wealth. In finance, an investment is a monetary asset purchased with the idea that the asset will provide income in the future or will be sold at a higher price for a profit. BREAKING DOWN 'Investment’ The term "investment" can be used to refer to any mechanism used for the purpose of generating future income. In the financial sense, this includes the purchase of bonds, stocks or real estate property. Additionally, the constructed building or other facility used to produce goods can be seen as an investment. The production of goods required to produce other goods may also be seen as investing. Taking an action in the hopes of raising future revenue can also be an investment. Choosing to pursue additional education can be considered an investment, as the goal is to increase knowledge and improve skills in the hopes of producing more income. Investments and Speculation Speculation is a separate activity from making an investment. Investing involves the purchase of assets with the intent of holding them for the long-term, while speculation involves attempting to capitalize on market inefficiencies for short-term profit. Ownership is generally not a goal of speculators, while investors often look to build the number of assets in their portfolios over time.

2. Investments and Speculation Speculation is a separate activity from making an investment. Investing involves the purchase of assets with the intent of holding them for the long-term, while speculation involves attempting to capitalize on market inefficiencies for short-term profit. Ownership is generally not a goal of speculators, while investors often look to build the number of assets in their portfolios over time. . Accounting: The monetary worth of an asset, business entity, good sold, service rendered, or liability or obligation acquired. 2. Economics: The worth of all the benefits and rights arising from ownership. Two types of economic value are (1) the utility of a good or service, and (2) power of a good or service to command other goods, services, or money, in voluntary exchange. 3. Marketing: The extent to which a good or service is perceived by its customer to meet his or her needs or wants, measured by customer's willingness to pay for it. It commonly depends more on the customer's perception of the worth of the product than on its intrinsic value. 4. Mathematics: A magnitude or quantity represented by numbers.