Year Net Income Net Cash Flow
0 0 (98500)
1 7500 24750
2 95000 31000
3 14750 34000
4 21250 40250
5 24950 44500
calculate accounting rate of return?
ARR stands for Accounting Rate of Return. Information can be found about this from many websites including Money Terms. Financial Dictionary also provides information.
Average Rate of Return is calculated by using the formula: (Net return per year / initial investment) x 100 Average Rate of Return is calculated by using the formula: (Net return per year / initial investment) x 100
Implement these methods: public static int smallest(int[] arr) { int small = arr[0]; for(int i = 1; i < arr.size(); i++) if(arr[i] < small) small = arr[i]; return small; } public static int largest(int[] arr) { int large = arr[0]; for(int i = 1; i < arr.size(); i++) if(arr[i] > large) large = arr[i]; return large; }
int max(int arr[], int arrSize){int maximum = arr[0];for (int i = 0; i < arrSize; i++){if (maximum < arr[i]){maximum = arr;}}return maximum;}
Assume that all your data were saved in array of type double and size 100:int arrSize = 100;double arr[arrSize] = {0.0};...for(int i = 0;...){...cin >> arr[i];//here you enter all elements using loop for}...Out side of the function main you can define two functions max and min which take the array arr as argumentdouble min(const arr[], int arrSize){double minimum = arr[0];for (int j = 0; j < arrSize; j++){if (minimum > arr[j]){minimum = arr[j];}}return minimum;}double max(const arr[], int arrSize){double maximum = arr[0];for (int j = 0; j < arrSize; j++){if (maximum < arr[j]){maximum = arr[j];}}return maximum;}
ARR stands for Accounting Rate of Return. Information can be found about this from many websites including Money Terms. Financial Dictionary also provides information.
The accounting rate of return (ARR) method may be known as the return on capital employed (ROCE) or return on investment (ROI).The ARR is ratio of the accounting profit to the investment in the project, expressed as a percentage.The decision rule is that if the ARR is greater than, or equal to, a hurdle rate, then accept the project.Advantages:- familiarity, ease of understanding and communication; - managers' performances are often judged using ARR and therefore wish to select projects on the same basis.Disadvantages:- it can be calculated in a wide variety of ways; - profit is a poor substitute for cash flow;- no allowance for the time value of money;- arbitrary cut-off date;- some perverse decisions can be made.
Average rate of return=Average profit /Initial investment*100% or ARR=Average profit /Average investment*100% or ARR=Total profit /Initial Investment*100%
The AAR is good capital budgeting tool because managers can compare it to objective benchmarks. Yet one limitation is that ARR uses profit rather than cashflows, and it does not account for the time value of money (TVM)For more information on the accounting rate of return (AAR) please visit: http://www.drtaccounting.com/2008/03/calculate-average-accounting-return.html
1. NPV 2. PI index 3. Internal rate of return (IRR) 4. Accounting rate of return. I'm not too sure whether 4. ARR is classed as one of the four methods, you'll have to check that one. :)
Average rate of return = Net Income / Average Assets Average assets = (opening assets - closing assets) / 2
two traditional methods: Average rate of return (ARR) and Payback (PB)...
ARR stand for average room rate
Advantages include: it is based on accounting information, so no other special reports are required, it is easy to calculate and simple to understand, and based on accounting profit thus measures the profitability of investment. While disadvantages include: ignores the time value of money, ignores the cash flow from investment and does not consider terminal value of the project.
Average Rate of Return is calculated by using the formula: (Net return per year / initial investment) x 100 Average Rate of Return is calculated by using the formula: (Net return per year / initial investment) x 100
Average Rate of Return is calculated by using the formula: (Net return per year / initial investment) x 100 Average Rate of Return is calculated by using the formula: (Net return per year / initial investment) x 100
Implement these methods: public static int smallest(int[] arr) { int small = arr[0]; for(int i = 1; i < arr.size(); i++) if(arr[i] < small) small = arr[i]; return small; } public static int largest(int[] arr) { int large = arr[0]; for(int i = 1; i < arr.size(); i++) if(arr[i] > large) large = arr[i]; return large; }