Average rate of return – ARR
Average rate of return is the ratio between average annual receipts and the amount of initial investment, calculated by the formula:
CFn – net cash flow in the n period,
In – initial investment in the n period (or total investment),
N – duration of the project in years.
ARR is interpreted as the average annual revenue that can be obtained from the project.
Budget-Plan Express is a software product for preparing business plans and presentations in Word and Excel format - for small businesses and studies (students, MBI students, etc.)
Calculate project performance indicators (РВ, DPB, NPV, PI, IRR and others) in the new version of the program (6.02) More ...
Select your Budget-Plan Express licenses and pay in your personal account - in rubles or other currency
