The ROI (Return on Investment) formula is:
ROI = (Profit - Investment Cost) / Investment Cost
Where:
Profit: the income generated from an investment
Investment Cost: the total cost of the investment, including any expenses
The ROI formula calculates the percentage return on an investment, and is commonly used by businesses and investors to evaluate the profitability of an investment. A higher ROI indicates a more profitable investment, while a lower ROI indicates a less profitable investment.
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