Accounting return on investment: Difference between revisions
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imported>Charles Cresswell No edit summary |
imported>Doug Williamson m (Spacing.) |
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This measure may be calculated in a number of different ways, for example: | This measure may be calculated in a number of different ways, for example: | ||
[Average annual accounting profit over the project life] ÷ [Average book value of investment in the project] | [Average annual accounting profit over the project life] ÷ [Average book value of investment in the project] | ||
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* [[Return on investment]] | * [[Return on investment]] | ||
[[Category: | [[Category:Accounting,_tax_and_regulation]] | ||
Revision as of 14:31, 27 July 2013
A measure of profitability based on accounting profits divided by the book value of invested capital.
This measure may be calculated in a number of different ways, for example:
[Average annual accounting profit over the project life] ÷ [Average book value of investment in the project]
