Return on Investment (ROI) Formula: ROI = [(Investment Gain – Cost of Investment) / Cost of Investment] X 100 You buy a parcel of land for $100,000. After spending $200,000 to build a home on said land, you put it on the market. Several months after listing the property, you sell it for $350,000.
Return on Investment (ROI) Formula: ROI = [(Investment Gain – Cost of Investment) / Cost of Investment] X 100 You buy a parcel of land for $100,000. After spending $200,000 to build a home on said land, you put it on the market. Several months after listing the property, you sell it for $350,000.
Chapter2: The Domestic And International Financial Marketplace
Section: Chapter Questions
Problem 8P
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Return on Investment (ROI)
Formula: ROI = [(Investment Gain – Cost of Investment) / Cost of Investment] X 100
You buy a parcel of land for $100,000. After spending $200,000 to build a home on said land, you put it on the market. Several months after listing the property, you sell it for $350,000.
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