How to calculate value in value driven delivery
The methods to calculate value: The value in monetary terms can be calculated using many terms: Simple schemes – rank the requirements from high to low. Present Value: The process of calculating the value today on future amount and can be calculated using the formula PV=FV/(1+i)n where PV = Present value, FV=Future Value, i=interest rate, n=number of periods. Internal rate of return (IRR): It is the discount rate at which the project revenues and project costs are equal. The project with the maximum IRR is selected. MoSCoW prioritization: This is based on the category prioritization where everything falls under any […]
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