Average Annual Growth Rate
How do you calculate average annual growth rate? Average Annual Growth Rate can be calculated as the sum of the growth rate for each year divided by the total number of years, it can be also be concluded by comparing...
Liquid Assets
What qualifies as liquid assets? A liquid asset is an asset that can be easily, quickly and securely sold and converted into cash in hand. In other words, liquid assets are seen as cash, as their value remains more or...
Bond Duration
What is the effective duration of a bond? Effective duration is the sensitivity of the price of a bond against the benchmark yield curve. One can assess the risk of a bond by estimating the percentage change in the price...
Money Market
What is money market and examples? It is a financial market where short-term financial assets having liquidity of one year or less are traded on stock exchanges. The securities or trading bills are highly liquid. Also, these facilitate the participant’s...
Rate of Return
What is the rate of return mean? Rate of Return means the percentage of gain or loss on an investment compared to the principal amount in the beginning of the investment. It can be related to a specific period of...
