How do you calculate return on an investment?

Answer 1

To calculate ROI, the benefit (or return of money or income gained) of an investment is divided by the cost of the investment. ROI is usually shown as a percentage. This formula can also be used to suit a number of different situations.

Here is the formula for ROI:

(Income from Investment - Cost of Investment) / Total Cost of Investment = ROI

Answer 2

Return on investment is calculated to measure the performance of one of the investment relative to another.ROI is expressed in terms of percentage and is based on the returns over an associate time period,usually one year.Reliance mutual fund is one of the AMC that allow the user to calculate the rate the investment return. CC� lak0 `F2 l fund,where Reliance mutual fund provide lot of information to the investors.

Answer 3

A Return on Investment (ROI) is calculated to measure the performance of one investment relative to another. ROI is expressed as a percentage and is based on returns over an associated time period, usually one year. For example, a 25 percent annual ROI means that a $100 investment would return $25 in one year. Thus, after one year, the total investment becomes $125.

Write down the amount of your total investment, including fees and expenses, if any. Write down the amount of profit or loss associated with your investment. Calculate the ROI by dividing the profit by the total investment.

Many mutual fund websites provide with calculators to find the rate of returns according to the investment made. Reliance Mutual fund is one of the AMC that allows the user to calculate the rate of investment returns.

Answer 4

(Amount received Or receivable - original investment) divided by original investment is the total return on investment. If ROI is to be calculated on annual basis, divide the total ROI by number of years. Express in terms of percentage.

Answer 5

Simple return on investment is done by dividing the final amount of money gained off the investment and dividing that by the initial cost of the investment. If your investment is more complex or you have tons of investments, you local bank will be the best place to get these numbers figured out.

Answer 6

There are mathmatical equations you can us eto determine the ROI, or Return on Investment, of anyting. Wheter it be investment in a business or determining if your time is being well-spent, you must attach a value to time. http://www.ehow.com/how_2311286_calculate-roi.html

Answer 7

You can calculate your return on investment by dividing your return by the initial amount invested. This will represent your gross return over a period of time.