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Topic: Business
Number of pages / Number of words: 2 / 526
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Important to understand is the calculation of ROR in order for a business to predict the risk and value when investing or taking on investors.

m. Return on Investment: Same as yield in some terms. However, in simple financial terms, return on investment is about getting back anything from the risk of purchasing capital or debt...


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Cash Flow: inflow or outflow of cash that changes with revenue or expenses which may occur as a result of investments, financing, cost of investments or operations.

Source: Financial Management: Principles and Applications, 10/e (Keown, et al. 2005)


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