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Jinsi ya kukokotoa ROI

ROI ni nini?

Return on Investment (ROI) measures the efficiency of an investment as a percentage gain or loss relative to cost. It is used to compare profitability across different investments, regardless of size.

Mwongozo wa Hatua kwa Hatua

  1. 1ROI = (Net Gain / Cost of Investment) × 100%
  2. 2Net Gain = Final Value − Initial Cost
  3. 3Annualized ROI = ((1 + ROI)^(1/years) − 1) × 100%
  4. 4ROI does not account for the time value of money unless annualized

Mifano Iliyotatuliwa

Ingizo
Bought $10,000 stock, sold for $13,500 after 2 years
Matokeo
ROI = 35%, Annualized = 16.2%
Ingizo
Invested $5,000 in education, earned $15,000 more/yr
Matokeo
ROI = 300% per year
Human capital ROI

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