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Abiblo Finance - Accounting Rate of Return
It is an accounting ratio which expresses the organization profit before taxation and interest usually as a percentage of the capital employed at the end of the period. Differences and variants may occur mostly after profit being used after taxation and interest, the employed of equity capital and the average of closing and opening capital employed for that period. A variant might be considered in forecast return on an investment project. However, discounted cash flow are considered superior.
1 Comment
2/24/2018 06:53:52 pm
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