What is ROI?

Answer Posted / khemraj k

ROI stands for Return On Investment , also known as Internal rate of return.

ROI= Return on investment (ROI) is the ratio of a profit or loss made in a fiscal year expressed in terms of an investment. It is expressed in terms of a percentage of increase or decrease in the value of the investment during the year in question. For example, if you invested $100 dollars in share of stock and its value rises to $110 by the end of the fiscal year, the return on the investment is a healthy 10%, assuming no dividends were paid.

FORMULA goes like this
ROI= net profit /total investment *100

Is This Answer Correct ?    1 Yes 0 No



Post New Answer       View All Answers


Please Help Members By Posting Answers For Below Questions

in Sensex and Nifty, what is the measure to take the points

1594


SIR HOW MANY FORM USE FOR COMMERCIAL TAX & WHAT IS THEIR USES. PLEASE GIVE YOUR SUGGEST

1602


what is t code of journal voucher report with amount?

1761


WHERE WE CAN USE VAT 5%,14.5%

2111


What is the difference between provision and reverse?

603






what is the difference between accounting and bookkeeping?

603


what are doucement required under registration of properity firm. give the answer breif

1536


Why do users of accounting information need accounting information?

590


What is the Technology used to carry out trades? Pls Tell me as early as possible.

3076


How much mathematics knowledge is necessary or required in accounting?

610


I purchased a machine and finance it by bank with the amount 1900000 and bank apply the finance charge 440000 for 3 years finance how to pass this entry still machine value is 2200000 is finance charge is interest (indirect exp.) pls help me.

1373


Tell me which accounting application you prefer most and why?

572


What is meant by daily accrual and booking?

661


One car company raised an invoice of 30k to its customer, which includes car's price and one year service price of 1600 (cost). They work on 25% margin. How much amount will go to Income statement and B/S?

2129


a cc. has balance Rs. 8,40,000 at the credit of profit and loss a/c this balance is used for redemption of debentures what will be the entry

1503