The Gordon model allows for the fact that the market might put a price on a stock that's different from what you might estimate using the equation above. A higher stock price than predicted implies a ...

If you seek regular income, you know that dividends are a must-have. Likewise, dividend growth rates are a key indicator of whether a company is financially healthy enough to keep paying them. You can ...

The growth rate of an investment shows how much its value increases over time, helping to evaluate performance. A common way to calculate this is by using the compound annual growth rate (CAGR), which ...

Calculating the average hourly wage for your employees might seem like a simple math task, but small-business owners may want to do this in one of several ways, depending on their needs. Creating ...

APR considers up-front fees to reflect the true mortgage cost, not just interest rates. Calculating APR involves adjusting the loan amount by adding fees to find a new rate. Always compare APRs, not ...

Future value (FV) is the value of a current asset at a future date based ... Future value can also handle negative interest rates to calculate scenarios such as how much $1,000 invested today will be ...

Calculating the interest rate using the present value formula can at first seem impossible. However, with a little math and some common sense, anyone can quickly calculate an investment's interest ...

Restaurants make profits when they can seat as many people as they can through the day and when the patrons order higher-priced items. Customers sitting at your tables for hours, working away at their ...

Sometimes a company will elect to lease a fixed asset instead of purchasing it outright. This could be driven by attractive lease financing terms, balance sheet management, or other reasons. If a ...

It’s smart to calculate your effective tax rate each year to make adjustments to your withholding amount and budget for the year ahead. Your tax preparer may provide you with your effective tax rate, ...

Sean Ross is a strategic adviser at 1031x.com, Investopedia contributor, and the founder and manager of Free Lances Ltd. Ebony Howard is a certified public accountant and a QuickBooks ProAdvisor tax ...