Return on Investment (ROI) Calculator

$
$
%
$
Formula: ROI = (Final Value - Initial Cost) / Initial Cost × 100%

ROI Calculator

ROI is one of the most widely used metrics for evaluating investment performance. It expresses profit as a percentage of the original investment.

Conversion Formula

ROI = (Final Value - Initial Cost) / Initial Cost × 100%

ROI = (Gain - Cost) / Cost × 100%. A positive ROI means profit; negative means loss.

Step-by-Step Examples

Invested $10,000, now worth $15,000 = ROI: 50%

(15000-10000)/10000 × 100 = 50%

Frequently Asked Questions

What is ROI?

ROI (Return on Investment) measures the profitability of an investment as a percentage of the original cost.

What is a good ROI?

It depends on the investment type. Stocks historically average 7-10% annually; real estate 8-12%; business investments vary widely.

Does ROI account for time?

Basic ROI does not account for time. For time-adjusted returns, use annualized ROI or IRR (Internal Rate of Return).