A Method and It's Application of the Discount Cash Flow for Appraising the Project Investment Finance

The discount cash flow method for the financial appraisal of project investment mainly consists of three basic methods: the net present value method, the present value index and the internal rate of return method. There exist different ideas of how to choose a proper method for a certain project in the academic field. This article, starting from the fundamental objective and hypothesis of the discount cash flow method and classifying every project into a proper class, intents to seek an appropriate method for each certain project.