Return on Investment (ROI) is the benefit to an investor resulting from an investment of some To use ROI as an indicator for prioritizing investment projects is risky, since usually little is defined together with the ROI figure that explains what is. Return on investment (ROI) measures the gain or loss generated on an investment relative to the amount of money invested. ROI is usually expressed as a. Definition of return on investment (ROI): The earning power of assets measured as the ratio of the net income (profit less depreciation) to the average capital.
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Home Help About What's New? Other terms relating to 'investment': Jason spent months taking Laura out and spent lots of money, but his friend Mike got the ROI. More information about how we collect cookies is found here. For example, to figure out the net profit of an investment , a company would need to track exactly how much cash went into the project and the time spent by employees working on it. ROI means "Return on Investment". Some other ways to use ROI within your company are by: