What Is Marginal Rate of Return?
The marginal rate of return is the balance of the unit product price minus the unit product tax and variable expenses, and is called the unit product marginal income. The ratio of the marginal return of a unit product to the selling price of a unit product is the marginal rate of return. Its formula is:
Marginal rate of return
discuss
- Chinese name
- Marginal rate of return
- Foreign name
- marginal income rate
- Refers to
- Expected future gain R
- Enterprise basis
- R = U determines the stock size of the asset
- Types of
- Capital investment
- The marginal rate of return is the balance of the unit product price minus the unit product tax and variable expenses, and is called the unit product marginal income. The ratio of the marginal return of a unit product to the selling price of a unit product is the marginal rate of return. Its formula is:
- Marginal Yield = Marginal Yield per Unit Product / Unit Product Sales Price × 100%
- The marginal profit or rate of return per unit product represents the amount that can be used to compensate for fixed costs for each product produced or sold, or the ratio of the amount of compensable fixed expenses per unit product to the price of the product. Production or sales at the time. The total fixed expenses divided by the marginal income is the production and sales volume at the break-even; if divided by the marginal income ratio, it is the sales volume at the break-even. The difference is only in the units of the results obtained. This method is of great significance in determining the scale of project production in economies of scale. [1]
- The marginal rate of return refers to the expected future gain of R for each additional unit of capital investment. The cost of asset use (represented by U here) refers to the expected true cost of using unit capital within a certain period of time. Stock scale.