Just compare the current pre-tax rate of return
to the return an investor would otherwise seek.
Next, compare that scenario with rolling over the stock into an IRA, selling it tax-free inside the IRA, assuming a suitably higher pre-tax rate of return
, and paying taxes on the mandatory distributions starting at age 70 1/2.
Such an increase distorts the international pre-tax rate of return
differentials and affects investors' decisions regarding where to invest.
That is, take the mutual fund with the highest pre-tax rate of return
and pair it with the mutual fund with the second highest pre-tax rate of return
5% annual return, the pre-tax rate of return
earned on stocks from 1926-1997.
25 per mcf), the company's estimated pre-tax rate of return
from a 6.
So, a 30% required pre-tax rate of return
would need a current cash flow capitalization rate of 27% (presuming a constant growth rate of 3%).
02 per mcf and $82 per bbl), the company's estimated pre-tax rate of return
from a 5.
The decline in Texas Gas' operating income is largely due to lower interruptible transportation revenues resulting from the implementation of the Federal Energy Regulatory Commission's Order 636 on November 1, 1993; seasonal demand revenues under Texas Gas' Order 636 service that are lower in the summer months than in the winter months; and a lower pre-tax rate of return
under Texas Gas' recently settled general rate case.
4 years of its 23 year mine life and generate a Pre-Tax Rate of Return
A financial analysis using the values above indicates that Rock Creek could generate a pre-tax rate of return
in the range of 19% to 31%, according to the Economic Assessment that evaluated the capital costs, operating and processing costs, taxes and royalties for the project.
with a pre-tax rate of return
of 22% (for complete details see press release of Feb 14, 2002).