Return on Investment (ROI) Calculator
Calculate your ROI to assess the profitability of your investment.
What is a Return on Investment (ROI) Calculator?
ROI (Return on Investment) is a key metric that measures the profitability of an investment. It is calculated by comparing the gain from an investment to its initial cost.
Why Use an ROI Calculator?
- Helps assess investment profitability.
- Allows comparison between different investment opportunities.
- Provides a clear financial outlook for investors.
FAQs
How do I calculate ROI?
ROI is calculated using the formula ((Total Gain - Total Cost) / Total Cost) × 100. Use our calculator above for quick results.
What is a good ROI?
A good ROI depends on the industry and risk involved. Generally, an ROI above 10% is considered favorable.
Can ROI be negative?
Yes, a negative ROI indicates that the investment has resulted in a loss.
Why is ROI important?
ROI helps investors and business owners evaluate the success of an investment and make informed financial decisions.