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Rate of Return

Rate of Return. Definition. The Rate of Return (ROR) is: A percentage (or interest rate) that describes the merit of an investment. (Return on investment during a year)/(Amount Invested) The interest rate than makes the cash flows of income equivalent to the cash flows of cost. Usage.

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511 views • 27 slides

Comparing Alternatives with Rate of Return

Comparing Alternatives with Rate of Return. Use Incremental Analysis. Topics. In this section, we recall the definition of ROR, discuss decision situations for multiple alternatives, and discuss the appropriate decision methodology for each situation. Rate of Return.

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698 views • 26 slides

Some Practice Questions in Engineering Economics

Some Practice Questions in Engineering Economics. Bruce A. Black Department of Electrical and Computer Engineering Rose -Hulman Institute of Technology. Cash Flow and Equivalence. Time Value of Money

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558 views • 14 slides

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Rate of Return

Comparing Alternatives with Rate of Return

Some Practice Questions in Engineering Economics