incremental rate of return

简明释义

增长收益率

英英释义

The incremental rate of return refers to the additional return generated from an investment compared to a baseline or previous investment, expressed as a percentage.

增量收益率是指与基准或先前投资相比,从投资中产生的额外收益,以百分比形式表示。

例句

1.Investors look for projects with a high incremental rate of return 增量收益率 to maximize their profits.

投资者寻找具有高增量收益率的项目以最大化他们的利润。

2.The investment project showed an incremental rate of return 增量收益率 of 15%, which was higher than expected.

该投资项目显示出15%的增量收益率,高于预期。

3.The finance team reported an incremental rate of return 增量收益率 of 10% after implementing cost-cutting measures.

财务团队在实施削减成本措施后报告了10%的增量收益率

4.The incremental rate of return 增量收益率 from the additional capital investment justified the expansion of the facility.

额外资本投资的增量收益率证明了扩建设施的合理性。

5.When analyzing the new marketing strategy, we calculated the incremental rate of return 增量收益率 to determine its effectiveness.

在分析新的营销策略时,我们计算了其增量收益率以确定其有效性。

作文

In the world of finance and investment, understanding various metrics is crucial for making informed decisions. One such important metric is the incremental rate of return, which refers to the additional return generated from an investment relative to another investment or a baseline. This concept is especially useful when evaluating the performance of different projects or investment opportunities. By analyzing the incremental rate of return, investors can determine whether a new project will yield better returns compared to existing investments or other alternatives. For instance, consider a company that is contemplating launching a new product line. The management team would need to assess the potential profitability of this venture. To do this, they would calculate the expected returns from the new product and compare it to the current product lines. The difference in returns, divided by the cost of the new investment, would give them the incremental rate of return. If this rate exceeds the company’s required rate of return, it indicates that the new product line is likely to be a worthwhile investment. Moreover, the incremental rate of return plays a significant role in capital budgeting decisions. Companies often face choices between multiple projects, each requiring substantial investment. By calculating the incremental rate of return for each project, decision-makers can prioritize those that promise the highest additional returns. This method not only helps in optimizing resource allocation but also minimizes the risks associated with capital investments. Another critical aspect of the incremental rate of return is its application in assessing the performance of a portfolio. Investors frequently adjust their portfolios based on market conditions and personal financial goals. When adding a new asset to a portfolio, it is essential to evaluate its incremental rate of return against the existing assets. If the new asset offers a higher return without significantly increasing risk, it may enhance the overall performance of the portfolio. In addition to its practical applications, understanding the incremental rate of return also fosters a deeper comprehension of risk and reward dynamics in investing. It emphasizes the importance of looking at returns not just in absolute terms but in relation to other opportunities. This perspective encourages a more strategic approach to investing, where every decision is backed by data and thorough analysis. In conclusion, the incremental rate of return is a vital concept in finance that aids investors and companies in making better investment decisions. By focusing on the additional returns generated from specific investments, stakeholders can optimize their strategies and improve their financial outcomes. Whether evaluating new projects, managing investment portfolios, or conducting capital budgeting, the incremental rate of return remains an essential tool for maximizing profitability and minimizing risk. As the financial landscape continues to evolve, the ability to analyze and utilize this metric will remain a key skill for successful investors and financial managers.

在金融和投资的世界中,理解各种指标对于做出明智的决策至关重要。其中一个重要指标是增量收益率,它指的是相对于另一项投资或基准所产生的额外收益。这个概念在评估不同项目或投资机会的表现时尤其有用。通过分析增量收益率,投资者可以确定一个新项目是否会比现有投资或其他替代方案产生更好的回报。 例如,考虑一家正在考虑推出新产品线的公司。管理团队需要评估这一风险的潜在盈利能力。为此,他们将计算新产品的预期收益,并与当前的产品线进行比较。新投资的收益差异除以成本,将给他们提供增量收益率。如果这个比率超过公司的必要收益率,这表明新产品线可能是一个值得投资的项目。 此外,增量收益率在资本预算决策中也发挥着重要作用。公司常常面临多个项目之间的选择,每个项目都需要大量投资。通过计算每个项目的增量收益率,决策者可以优先考虑那些承诺最高额外回报的项目。这种方法不仅有助于优化资源配置,还能最大限度地降低资本投资相关的风险。 增量收益率的另一个关键方面是其在评估投资组合表现中的应用。投资者经常根据市场条件和个人财务目标调整他们的投资组合。当向投资组合中添加新资产时,评估其相对于现有资产的增量收益率是至关重要的。如果新资产在不显著增加风险的情况下提供更高的回报,它可能会增强投资组合的整体表现。 除了其实际应用外,理解增量收益率还促进了对投资中风险和回报动态的更深刻理解。它强调了在绝对收益的基础上考虑回报的重要性,而是与其他机会相关联。这种视角鼓励采取更具战略性的投资方式,使每个决策都有数据和深入分析的支持。 总之,增量收益率是金融中的一个重要概念,帮助投资者和公司做出更好的投资决策。通过关注特定投资所产生的额外回报,利益相关者可以优化他们的策略并改善财务结果。无论是在评估新项目、管理投资组合还是进行资本预算时,增量收益率始终是最大化盈利能力和最小化风险的基本工具。随着金融环境的不断发展,分析和利用这一指标的能力将继续成为成功投资者和财务经理的关键技能。

相关单词

incremental

incremental详解:怎么读、什么意思、用法