answersLogoWhite

0

The higher the risk the more return you could possibly get. The lower risk investments usually do not make you as big of a return.

User Avatar

Wiki User

11y ago

What else can I help you with?

Continue Learning about Math & Arithmetic

What happens if the IRR is greater than the required rate of return?

The IRR rule states that if the internal rate of return (IRR) on a project or investment is greater than the minimum required rate of return - the cost of capital - then the decision would generally be to go ahead with it. Conversely, if the IRR on a project or investment is lower than the cost of capital, then the best course of action may be to reject it.


Which angles in the triangeles have measure greater than a riggt angle?

In general, a triangle doesn't need to have any angle greater than a right angle, but if it does, it can only have one.


In general the distribution of F-ratios is?

positively skewed with all values greater than or equal to zero


What number is greater than 3?

Any number greater than 3 can be represented by values such as 4, 5, or even 10. In general, any real number that is greater than 3, such as 3.1 or 100, satisfies this condition. Thus, there are infinitely many numbers greater than 3.


What is the benefit divided by the cost?

The benefit divided by the cost, often referred to as the benefit-cost ratio (BCR), is a financial metric used to evaluate the efficiency of an investment or project. A BCR greater than 1 indicates that the benefits outweigh the costs, making the investment worthwhile. Conversely, a BCR less than 1 suggests that the costs exceed the benefits, signaling a potentially unwise investment decision. This ratio helps stakeholders make informed choices by quantifying the return on investment in relation to its expenses.

Related Questions

Which of the following would not increase GDP?

More importsImports. Apex 8)imports. Apex 8)Greater levels of investment.


What resulted in the increase of GDP?

Greater levels of investment


What is the benefit forgone when choosing to invest in a low-risk savings account instead of a high-risk stock market investment?

The benefit forgone when choosing a low-risk savings account over a high-risk stock market investment is the potential for higher returns. In other words, by opting for the safety of a savings account, you may miss out on the opportunity to earn greater profits that come with investing in the stock market.


Which of the following would result in an increase in GDP apex?

Greater levels of iinvestment


Which of these results from greater capital mobility?

Increased foreign investment.


What would result in increase in GDP?

Greater levels of investment


What would be the benefits of joining an investment club?

An investment club is a group of individuals who pool their money for retail investment. The benefits are that the group has a greater market share and thus have more say in a company.


Why is a current account surplus equivalent to foreign investment?

A country where income is greater than spending, has saving greater than investment, and a current account surplus. The excess of income over spending must be balanced by foreign investment, so there will be a financial account deficit to match the current account surplus.


Greater capital mobility can help developing countries by providing what?

Increased foreign investment


What does greater capital mobility mean?

Investment money flows freely around the world.


Why are equity earnings usually greater than cash flow generated from the investment?

true


Which would cause the gross domestic product to go up?

Greater levels of investment