Key Terms
What is Time Value of Money?
Money is worth more today than tomorrow because money has the opportunity to grow
Define Payback Period
The amount of time, in years, that it will take to return the initial cost of investment
What is the highest NIAT generating division of Molex?
DSS
What does EVA determine?
How much profit do we get after paying all the costs related to the project.
What does NPV determine and how?
The value of a project; discounting all future cash flows to the present value and them comparing to the original investment amount
What is Molex's forecasted NIAT for 2025?
1035
What does Gross Margin show?
Efficient resource usage and cost management.
What does ROCC tell us?
For every dollar of capital we consume, how much return are we generating?
(Daily Double) Name 2 of the 3 highest NIAT generating business units.
Copper Solutions, Transportation Solutions, Power and Signal Solutions
What is IRR?
The rate of return at which the money invested breaks even. When NPV = 0.
What is the 6 in "NPV6" and what is the 4 in "EVA4", say and define the term.
Discount rate: the rate of return to determine the present value of future cash flows.
What is ISBU's target NIAT?
30 Million