Ask Questions, Get Answers
2
Points
Asked by sharnell - 2 years ago
All Answers
Sort By
Show
Richard Level 76 / Retired Dentist
Answered 2 years ago
-
Rate of return or ROR or ROI is a measure of cash generated by or lost due to the investment. It measures the cash flow or income stream from the investment to the investor, relative to the amount invested. Cash flow to the investor can be in the form of profit, interest, dividends, or capital gain/loss. Capital gain/loss occurs when the market value or resale value of the investment increases or decreases. Cash flow here does not include the return of invested capital.

There are several different ways to figure it depending on circumstances.
See
http://en.wikipedia.org/wiki/Rate_of_ret...

Please remember to select a best answer button.
Related Questions
Need Answers Instantly?
About this Question
Open Question
1 Compliment
1 Answer
5K Views
Question Discussion
from Richard 2 years ago
Top Users this Week
joensf Level 78 PhD
+1K
Exp
labarca Level 64 PhD
+1K
Exp
rredrick Level 42 College
+1K
Exp
faxman Level 26 High School
+960
Exp
kelarsen Level 35 College
+672
Exp
Additional Links