What are the components of return, Financial Management

Assignment Help:

What are the Components of Return

Return is fundamentally made up of two components:

Periodic cash receipts or income on the investment in the form of interest, dividends, etc. The term yield is usually used in connection with the component of return. Yield refers to income derived from a security in relation to its price, generally its purchase price.
Appreciation (depreciation) in the price of the asset is referred to as capital gain (loss). This is the difference between purchase price and price at which asset can be, or is, sold.

Related Discussions:- What are the components of return

Analysis of financial plans, Part 1: Contingency plan Create contingency pl...

Part 1: Contingency plan Create contingency plans for the following scenarios: > One of your highly qualified consultants has given three months notice and is planning to move to a

Operating cycle, discuss the applicability of an operating cycle of a veget...

discuss the applicability of an operating cycle of a vegetable growing business

ACCRUAL INCOME VERSU CASH FLOW, Thomas book sales, inc. supplies texbooks t...

Thomas book sales, inc. supplies texbooks to college and university bookstore. The books are shipped with a proviso that they must be paid for within 30 days but can be returned f

Explain term lenders, Lenders Lenders are concerned to receive payment ...

Lenders Lenders are concerned to receive payment of interest and ultimate re-payment of capital. They don't share in the upside of very successful organisational strategies as

Activity-based management - abm, A procedure that invented in the 1980s for...

A procedure that invented in the 1980s for evaluating the processes of a business to find strengths and weaknesses. Specially, activity-based management finds out areas where a bus

Business venture, Project Plan for my new business venture is attached) ...

Project Plan for my new business venture is attached) 1. Your task is to take a look at every of the operational areas of the intended business, and verify what financial i

Valuation using treasury spot rates, To understand how treasury spot ...

To understand how treasury spot rates are used to calculate the arbitrage-free value of the treasury security, we will take imaginary treasury spot rates (given i

Evaluate the profitability and sales, a) Stockpiles refers to the accumulat...

a) Stockpiles refers to the accumulated (or excess level of) supply Ford motor vehicles, i.e. too much production given the level of demand. The purpose is to prevent possible shor

Explain interest rate risk, Explain Interest rate risk Interest rate r...

Explain Interest rate risk Interest rate risk considers to interest rates changing not favorably before the swap dealer can lay off with an opposing counterparty the unplaced

Calculate total amount of dividends in arrears, QTL Tech has an issue of pr...

QTL Tech has an issue of preferred shares outstanding with a $50 stated value that pays a dividend of 7.5%. There are 325,000 shares outstanding. QTL has not paid preferred share d

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages