Rate of Return Definition

Below please find a definition of “Rate of Return”

Financial Analysis Training & Glossary TermsRate of Return: Rate of return is often termed as ROI or Return on investment. A company measures its percentage of gain or loss of an investment over a period of time by its rate of return. For example, when a financial statement shows a rate of return of 10% by an investment, it means that the investment gained 10% over a period of twelve months.

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