Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
7. What type of income o profit does an investor expect to receive in exchange for providing financial resources to a business?
Expert Solution
Step 1
Income is defined as the top line revenue or an most important revenue, which is calculated by proper monitoring of each and every transactions that gave the every penny in the business at the give time period. It is also known as the gross revenue. Whereas, Profit is an amount, which is left with the company after all the payments of expenses.
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