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When Generating Ideas, effective problem solvers are those who:
Annual Rate of Return
The Annual Rate of Return is the percentage of profit or loss on an investment over a one-year period, taking into consideration both capital gains and dividends.
Initial Investment
The amount of money used to start a project, purchase an asset, or invest in a business venture.
Net Annual Cash Inflow
The difference between all cash received and all cash expended by a business in one year.
Net Present Value
The difference between the present value of cash inflows and the present value of cash outflows over a period of time, used in capital budgeting to analyze the profitability of an investment.
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