We all know and love the wonderful Uber drivers who give up their Friday nights so we can chauffeur us around town. They get us home safe and sound at 3 am, and charge less than cab drivers.
To Uber, cash-on-cash yield comes from the money the driver makes using his or her car. Cash-on-cash yield is cash flow that comes from the use of an asset. In the case of our Uber driver, his car is the asset, and our cash is the return.
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Finance: What Is a Real Return?67 Views
finance- a la shmoop. what is a real return? like is there a fake return? you
know like the news? well kinda .real return refers to an [man frowns talking to camera]
investment return mapped against inflation. so let's say you invest in a
bond that pays five percent a year for ten years and then pays you back your
principal .boring but nice- you know like a good doctor visit. your nominal return
over that period was 5% but since inflation was 3% a year during that
period on average your real return was only 2% a year- meaning that the
performance of your investment only eked out a 2% net gain against the price of [equation]
milk gas and you know knocked off iPhones. so don't be a chump who thinks
that they're making more money than they really are, and you know keep on keeping
it real. [man sitting in chair, talks to camera]
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