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Residual Income
The amount of income that exceeds the minimum rate of return on a project or investment.
Required Rate Of Return
The minimum percentage return an investor expects to achieve from an investment to make it worthwhile, considering the risk.
Contribution Margin Ratio
The percentage of each sales dollar that remains after deducting variable costs, used to cover fixed costs and provide profit.
ROI
Return on Investment (ROI) measures the efficiency of an investment, calculated as net profit divided by the cost of the invested capital.
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