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In: Accounting

3.1 What is the IRR? 3.2 What is the VPN? When is it used? 3.3 What...

3.1 What is the IRR?

3.2 What is the VPN? When is it used?

3.3 What is ROI? What is it for?

3.4 What is the difference between TREMA and TMAR?

Solutions

Expert Solution

3.1 The internal rate of return is a metric used in financial analysis to estimate the profitability of potential investments The internal rate of return is a discount rate that makes the net present value NPV of all cash flow equal to zero in a discounted cash flow analysis . Irr calculations rely on the same formulas as npv does.

Irr is the anual rate of growth an investment expected to generate .

Irr is calculating using the same concept as npv equal to zero.

irr is ideal for analyzing capital budgeting projects to understand and compare potential rates of annual return over time.

3.2 A virtual private network vpn gives you online privacy and anonymiting by creating a private network from a public internet connection . Vpns mask your internet protocol address to your online actions are virtually untraceable . Most important vpns services establish secure and encrypted connections to provide greater privacy then even a secured wifi hot spot .

Surfing the web or transacting on an unsecured wifi network means you could be exposing your private information and browsing habits .That's why a virtual private network , better known as vpn should be a must for anyone concerned about their online security and privacy.

The encryption and anonymity that a con provides helps protect their online activities .

3.3 return on investment is a performance measure used to evaluate the efficiency of an investment or compare the efficiency of a number of different investments . Roi tries to directly measure the amount of return on a particular investment ,relative to the investments cost . To calculate roi the benefit of an investment is divided by the cost of investment .The result is expressed as a percentage or ratio.

ROI= current value of investment - cost of investment / cost of investment.


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