In general, the growth rate in earnings will depend on the portion of earnings reinvested each period and

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13-06-2022
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In general, the growth rate in earnings will depend on the portion of earnings reinvested each period and

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gauravsingh23VT gauravsingh23VT · Answer 1 · 2022-06-15T14:06:05+02:00

The rate of return on new investment is the growth rate in earnings will depend on the portion of earnings reinvested each period.

What is Earnings Retention Rate?

Retention of Earnings refers to the company's earnings that are reinvested in the company.

Earnings proportionate to new investment made in the company through one of the forms of financing are referred to as the rate of return earned on new investment.

Thus, it is The rate of return on new investment.

For more details about Earnings Retention Rate, click here:

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