How to Calculate Return on Investment (ROI) for Real Estate Investments By Marc Davis Return on investment (ROI) is an accounting term that indicates the percentage of invested money that's recouped after the deduction of associated costs. For the non-accountant, this may sound confusing, but the formula may be simply stated as follows: ROI= Gain from investment-Cost of investment/Cost of Investment But while the above equation seems easy enough to calculate, with real estate

Cyber Monday What is 'Cyber Monday' Cyber Monday, also known as "Black Monday," is an e-commerce term, referring to the Monday following the U.S. Thanksgiving weekend. As brick and mortar stores do with Black Friday, online retailers will usually offer special promotions, discounts, and sales on this day; traditional retailers will offer exclusive, "website only" deals. It's known as the unofficial start of the online holiday shopping season. BREAKING DOWN 'Cyber Monday' Whil

Cash Basis Accounting Definition Short Definition When using this method of record-keeping, the business owner reports income when it is actually received and expenses when they are actually paid. This is the most commonly used method of accounting and provides the easiest system to follow. Expanded Definition Operating under the cash method of accounting, income is recorded when payment is received from customers. Expenses are recorded as funds are paid to vendors. The cas

What is the 'Time Value of Money - TVM The time value of money (TVM) is the concept that money available at the present time is worth more than the identical sum in the future due to its potential earning capacity. This core principle of finance holds that, provided money can earn interest, any amount of money is worth more the sooner it is received. TVM is also sometimes referred to as present discounted value. BREAKING DOWN 'Time Value of Money - TVM' The time value of mone