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It would have to be from when the money
is paid, 1 month+2 weeks, to arrive at a true rate of return. Your capital is
invested for that entire period and can't be rolled into a new investment during
that period, hence the return should be calculated from when the money is paid.
Andrew
----- Original Message -----
Sent: Wednesday, May 11, 2005 9:53
PM
Subject: [RT] Annualized Yield
For you math gurus.
To settle an argument. If
I bought a property, held it for 2 weeks
and sold it today for a profit and
a guarantee to receive the cash a
month later, do I calculate the
annualized yield from the transaction
date,(2 weeks), or when the money is
paid,(1 month+2weeks)?
TIA,
dom
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