Required rate of return (RRR) gives investors a benchmark to determine the minimum acceptable return on an investment considering the risk involved. By calculating RRR, investors can assess whether an ...

The growth rate of an investment shows how much its value increases over time, helping to evaluate performance. A common way to calculate this is by using the compound annual growth rate (CAGR), which ...

Companies may lease assets to optimize financial terms and manage balance sheets. Capital lease interest can be computed using the IRR function in a spreadsheet. Adjust IRR formula for payment ...

Have you ever looked at your rate of return and wondered how to interpret it? How do you know whether your portfolio performance is good, bad, or somewhere in between? And how do you go about ...

If you've dabbled in investing, you've likely heard of the "Rule of 72." It's a back-of-the-envelope metric for calculating how quickly an investment will double in value. Most financial metrics are ...

Real rate of return adjusts for inflation, providing a true growth measure. S&P 500's real rate is 7.9%, versus a nominal 11.8%, due to inflation. Using real rates in retirement planning ensures ...

The Forward Rate of Return (FRR) was popularized by noted Investment Manager Donald Yacktman. The whole purpose of stock investing is balance the present rate of return, i.e., the dividend (if any) I ...