Return on Investment (ROI)
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Description
Return on investment (ROI) is the concept of an investment of some resource yielding a benefit to the investor. A high ROI means the investment gains compare favorably to investment cost. As a performance measure, ROI is used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. In purely economic terms, it is one way of considering profits in relation to capital invested.
Concept Prerequisite
Wikipedia Reference
http://en.wikipedia.org/wiki/Return on investment
Learning Material
Covered in Topic(s)
| Accounting: Information for Decision Making |
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