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Residual Income
The profit earned after deducting the cost of capital from the net operating income.
Required Rate Of Return
The minimum rate of return on an investment that investors expect to receive, taking into account the risk involved.
Turnover
The rate at which inventory is sold or replaced over a specific period, or in human resources, the rate employees leave and are replaced in a company.
Residual Income
The income that exceeds the minimum required return on investment, often used as a performance measure in managerial accounting.
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