If a corporation pays $3 per share in annual dividends for each of the ten shares you purchase for $50 each then the ROI is 2$.
<h3>How is ROI calculated?</h3>
An investment's return on investment (ROI) provides a general indication of its profitability. In order to calculate ROI, subtract the investment's initial cost from its final value, divide the result by the cost of the investment, and then multiply the result by 100.
<h3>What Constitutes a Solid ROI?</h3>
For an investment in stocks, a yearly ROI of 7% or more is typically regarded as a respectable ROI. This also refers to the average annual return of the S&P 500 after accounting for inflation.
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Answer:
The payback period for this project is 2.43 years.
Explanation:
Elmer Sporting Goods is getting ready to produce a new line of golf clubs by investing $1.85 million.
The investment will result in additional cash flows of $525,000, $812,500, and 1,200,000 over the next three years.
The payback period is the time it takes to cover the investment to be covered by returns.
The investment cost remaining in the first year
= $1,850,000 - $525,000
= $1,325,000
The investment cost remaining in the second year
= $1,325,000 - $812,500
= $512,500
The third year payback
= 
= 0.427
The total payback period
= 2.43 years
Since the purpose is put the money aside that anytime you can get it and spend it on anything you want to buy, the best answer from the choices is "HOLD IT AS A MONEY".
You can choice U.S treasury fund because only after 10 years you can get the money with fixed interest.
Answer:
THERE ARE SCARCITY EVEN IN AN AFFLUENT COUNTRY LIKE THE UNITED STATES BECAUSE WANTS ARE LIMITED BUT NEEDS ARE UNLIMITED. SOME PEOPLE ARE POOR WHILE OTHERS ARE WEALTHY
