RATE OF RETURN
rate of return.The annual income from an investment, expressed as a percentage of the
investment. See RETURN(5).
fair rate of return.The amount of profit that a public utility is permitted to earn, as determined
by a public utility commission. [Cases: Public Utilities 129. C.J.S. Public Utilities §§ 35, 38–41,
57.]
internal rate of return.Accounting. A discounted-cash-flow method of evaluating a long-term
project, used to determine the actual return on an investment. — Abbr. IRR. [Blacks Law 8th]