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    Evaluating Performance

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    When expanding and investing in projects overseas it is essential to understand such things as return on equity (ROE) and setting hurdle rates. Using internet sources (you may want to start with the websites listed below) gather information on ROE and hurdle rates. Post a two to three paragraph explanation of these terms and the advantages and disadvantages of using them when selecting projects to invest in overseas.

    Return on Equity vs. Return on Capital
    Return on Equity Definition
    Keep Your Eye on the ROE

    Hurdle Rate Example

    Select two companies from the same industry. Using the annual report information available on the company's website compute the ROE for each company. Provide a 2-3 paragraph analysis of your findings.

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