# Roi formula

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Return on Investment (ROI) – Definition. Return on Investment refers to the return which the company generates from the investment during the period under consideration with respect to the amount of investment made by the company till the point of time i.e., it measures the efficiency of the investment of the company. At the beginning of a relationship with a new client, there's one question that we get asked most often. What's the ROI? What's in it for me? This question strikes fear in the hearts of many agencies, but we love it because it shows that the client means business and we know they'll love us even ... Return on Investment (ROI) is a performance measure used to evaluate the efficiency of an investment or compare the efficiency of a number of different investments. ROI tries to directly measure ...Return on investment is a crucial analytical tool used by both businesses and investors. In this lesson, you'll learn the basic formula, discover a variant used for shareholders, and be provided ... Bob's ROI on his sheep farming operation is 40%. Conversely, the formula can be used to compute either gain from or cost of investment, given a desired ROI. Return on investment (ROI) is a financial metric of profitability that is widely used to measure the return or gain from an investment. ROI is a simple ratio of the gain from an investment ...