Investment Questions and Answers (Q&A)

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IRR is the acronym for Return of Investment and ROR stands for Rate of Return. These two terms do not mean the same thing. IRR is a complex finance metric for investment; it is used to calculate the rate of return on investment. IRR is much more accurate than ROI. IRR is calculated as the...Read More

3 Answers

The correct answer to this question is A. The cashback period in capital budgeting refers to the period of time required to recoup the funds expended in an investment, or to reach the break-even point. The Cashback period intuitively measures how long something takes to "pay for itself...Read More

1 Answer

9% 216,000 divided 600,000= 216,000 divided by four= 54,000 per year. 54,000 divided 600,000 =9%. The net income formula is calculated by subtracting total expenses from total revenues. The net income equation is relatively simple. It measures excess revenues over total expenses. Net income is...Read More

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FDI stands for Foreign Direct Investment and FPI stands for Foreign Portfolio Investment. The FDI makes it a point to ensure that the company where the investment is made will be controlled while the FPI aims to make sure that profits will be invested in different shares and bonds. The FPI will...Read More

1 Answer

It will be hard to find the right thing that you should invest in especially if you do not know where to begin. There are times when you feel that you have a brilliant idea but you honestly do not know how you are going to fund your ideas. You can easily do this with the help of another person,...Read More

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