0
Want this question answered?
Be notified when an answer is posted
Add your answer:
Earn +20 pts
How do you calculate ROI?
Definition of 'Return On Investment - ROI'A performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. To calculate ROI, the benefit (return) of an investment is divided by the cost of the investment; the result is expressed as a percentage or a ratio. The return on investment formula:
What is sharpe ratio?
The Sharpe Ratio is a financial benchmark used to judge how effectively an investment uses risk to get return. It's equal to (investment return - risk free return)/(standard deviation of investment returns). Standard deviation is used as a proxy for risk (but this inherently assumes that returns are normally distributed, which is not always the case). See the related link for an Excel spreadsheet that helps you calculate the Sharpe Ratio, and other limitations.
How do you Calculate a Return on an Investment?
The return on investment formula:ROI=(Gain from Investment - Cost of Investment)/Cost of Investment.
How is ROI or return on investment calculated?
Return on investment is calculated by subtracting investment capital from the return, taking into account inflation, taxation and the time frame involved.
Example of Internal rate of return?
Money deposited in an interest bearing account has a rate of return. the institution will take that money and reinvest it so they can make money off of it as well.This rate of return on the internal investment is the internal rate of return, which is usually higher than that paid to the original investor.
Return On Investment in fmcg?
Return on investment is the amount that you get back for investing in something. The formula is ROI=(Profit *100)/(Investment * number of years.)
How does the risk or return ratio of a government bond compare with that of other types of investments?
The risk of a government bond is minimal, though the return from the government bond is very low compared to other lucrative bonds available in the market.When you opt for more return, there is more risk. Whereas though in government bond, the return is low, your investment is well secured and risk ratio is almost nil.
What factors affect the rate of return of an investment at maturity?
What factors affect the rate of return of an investment at maturity?
Return on investment and safety of investment?
Return on investment is the amount of profit on the invested money after deducting taxes, safety of investment is the risk factor involved in the investment. Such as risk is high safety of investment is less.
Is return of investment an income acct?
Yes the amount would be a taxable income amount after your return of investment amounts exceed your cost basis in the investment.
When a corporation weighs its return on investment for initiating a new project against the minimum standard investment return it has set before it the minimum standard investment return is referred t?
Hurdle rate
A risk of money to get something in return is called?
An investment.
