Instructions: Identify the Following Terms

question 108

Short Answer

Instructions: Identify the following terms.
the "four olds"

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Definitions:

Return On Investment

A measure used to evaluate the efficiency or profitability of an investment, calculated by dividing the net profit by the cost of the investment.

Discount Rate

The interest rate charged to commercial banks and other financial institutions for loans received from the central bank or the rate used in discounted cash flow analysis to determine the present value of future cash flows.