Examlex
If there were a perfect positive correlation between two interval/ratio variables, Pearson's r test would give a correlation coefficient of
Accounting Rate of Return
A financial metric used to assess the profitability of an investment, calculated by dividing the average annual accounting profit by the initial investment cost.
Cash Payback Method
An investment appraisal technique that calculates the time needed to recoup the cost of an investment through cash flows.
Present Values
The present value is the current worth of a future sum of money or stream of cash flows given a specified rate of return.
Capital Rationing
The process of limiting the number of new projects or investments undertaken by a company due to budget constraints.
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