Web Results

Rate of return - Wikipedia


In finance, return is a profit on an investment. It comprises any change in value and interest or dividends or other such cash flows which the investor receives from the investment. It may be measur...

Return on shareholder's investment/Return on equity - formula ...


Return on shareholders' investment ratio is a measure of overall profitability of the ... Posted in: Financial statement analysis/Accounting ratios analysis ... and is computed by dividing the net income after interest and tax by average stockholders' equity. ... Direct labor efficiency variance calculator · Direct labor ...

Return on Equity Ratio | Analysis | Formula ... - My Accounting Course


The return on equity ratio or ROE is a profitability ratio that measures the ability of a firm to generate profits from its shareholders investments in the company. ROE shows how much profit each dollar of common stockholders' equity generates. ... Interest Coverage Ratio · Internal Rate of Return · Inventory Turnover ...

Return On Equity - ROE Definition | Investopedia


Return on equity measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested.

Management Accounting: Chapter 14 - Maaw.info


Note that the source of the investment (i.e., debt or stockholders equity) is usually ... The Profit Margin is the Rate of Return on Sales (ROS) and measures ...

What is the accounting rate of return? - Questions & Answers ...


Jun 17, 2013 ... The accounting rate of return is used in capital budgeting to estimate whether to ... One would accept a project if the measure yields a percentage that exceeds a certain ... Average annual accounting profit / Initial investment.

Return On Equity - Accounting Explained


Return on equity or return on capital is the ratio of net income of a business during a period to its ... It is a measure of profitability of stockholders' investments.

On the Misuse of Accounting Rate of Return to Infer ... - MIT Economics


tempting to measure profitability by line of business are discussed ... return.” The economic rate of return on an invest- ment is, of course, that discount rate that equates the present ... apply to accounting rates of return on stockholders' equity.

Return on Capital Definition & Example | Investing Answers


It measures the return that an investment generates for capital contributors, i.e. bondholders and stockholders. Return on capital indicates how ... NOPAT = Earnings before Interest & Taxes * (1 - Tax Rate) Using NOPAT in the equation will tell ...

Accounting Rate of Return | ARR - Accounting-Simplified


Accounting Rate of Return, shortly referred to as ARR, is the percentage of average accounting ... ARR is a measure of accounting profitability of investments.