Factors of importance of returns in any investment, Financial Management

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Factors of Importance of returns in any investment

Importance of returns in any investment decision can be traced to the following factors:

  • It enables investors to compare alternative investments in terms of what they have to offer the investor.
  • Measurement of past returns enables investors to assess how well they have done.
  • Measurement of historical returns also helps in estimation of future returns.

 


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