Examlex
Builder and owner enter into a contract to have a building built. At the time they entered into the contract they were unaware that there was an underground stream below the site that would make the construction impossible. The contract has been discharged due to frustration.
Rate of Return
The gain or loss on an investment over a specific period, expressed as a percentage of the investment's cost.
Required Return
The minimum rate of return on an investment that is necessary for it to be considered a viable option, taking into account its risk level.
IRR
In capital budgeting, the Internal Rate of Return serves as a tool for estimating the potential returns on investment projects.
Investment
The allocation of resources, usually money, into assets or projects expected to generate future returns or profit.
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